So the appeals process with EDD operates as kind of a little mini trial. The best way to think about it is if I’m sitting at a conference table, it would be me sitting at the conference table, be you (the client) next to me, you’d have the EDD auditor sitting at the conference table, you’d have the EDD hearing representative (usually an attorney, not always but sometimes) and then you’ll have an administrative law judge sitting at the other end of the table. And what happens is kind of a formal mediation process. The EDD will go first. They’ll present their case, you get to ask questions, you get to cross-examine, you get to go back and forth on this and then you present your case and they will ask you questions. They’ll flesh out your case and then ultimately the judge in the case will make a decision.
What Are Common Problems for Taxpayers in an EDD Audit?
The EDD is auditing somebody because they have a reasonable suspicion that’s something they’re doing is not correct.