How to Correct Prior Reports, Returns, or Deposits

As of January 1, 2018, all employers are required to electronically submit employment tax returns, wage reports, and payroll tax deposits to the Employment Development Department. You can use e-Services for Business to comply with the e-file and e-pay mandate. It’s a fast, easy, and secure way to file, pay, and manage your employer payroll tax accounts online. For more information and approved electronic filing and payment methods, visit E-file and E-pay Mandate for Employers.

Refer to the charts below to determine the process to make adjustments to previously submitted reports, returns, or deposits.

Payroll Tax Deposit (DE 88)

Deposits can be corrected through e-Services for Business even if the deposit was made using a paper DE 88 coupon.

Report to be Adjusted Reason for Adjustment Form Required How to Make Adjustment
Payroll Tax Deposit (DE 88) Overpaid UI, ETT, SDI and/or PIT prior to filing DE 9 and DE 9C DE 88 filed within same quarter Reduce the amount of taxes due by the amount of overpayment on the next DE 88 filed within the quarter. Do not show credits on the DE 88.
Overpaid UI, ETT, SDI, and/or PIT prior to filing DE 9 and DE 9C and unable to reduce overpayment on next deposit within the quarter. DE 9 Claim refund on line J on the DE 9 filed for the quarter.
Over withheld PIT and
  • DE 9 was filed
  • DE 9C was filed
  • Form W-2 issued to employee
 None DO NOT:
  • Refund over withheld PIT to employee.
  • Change the PIT withholding amount on Form W-2 or
  • File a claim for refund with the EDD.
The employee will receive a credit for PIT over withholdings when filing state income tax return with the Franchise Tax Board.
Underpaid UI, ETT, SDI, and/or PIT prior to filing DE 9 and DE 9C. DE 88 Submit a DE 88 for the additional amount due including penalty and interest. Indicate payroll date on the DE 88.
Underpaid UI, ETT, SDI, and/or PIT and the DE 9 and DE 9C were filed. DE 88 Submit a DE 88 for the additional amount due including penalty and interest. Indicate payroll date on the DE 88.
Allocated the wrong amounts to specific funds on a DE 88. None Do Not Adjust. The EDD will make the necessary adjustments at the end of the quarter when your DE 9 is filed.

For additional assistance, contact the Taxpayer Assistance Center at 1-888-745-3886.

Quarterly Contribution Return and Report of Wages (DE 9)
Quarterly Contribution Return and Report of Wages (Continuation) (DE 9C)

Most employers, including quarterly household employers, are required to file the DE 9 and DE 9C. These reports can be corrected through e-Services for Business even if originally filed using a paper form.

Report to be Adjusted Reason for Adjustment Form Required How to Make Adjustment
Quarterly Contribution Return and Report of Wages (DE 9) Incorrect UI, ETT, SDI, and/or PIT information provided Quarterly Contribution and Wage Adjustment Form DE 9ADJ Complete Sections I, and II. If the DE 9C was filed incorrectly, also complete Section III. If additional monies are due, send payment with the DE 9ADJ form; do not use a Payroll Tax Deposit (DE 88) coupon.
Quarterly Contribution Return and Report of Wages (Continuation)(DE 9C) Incorrect employee Social Security Number (SSN) or name provided. DE 9ADJ Complete Sections I and III. Section III requires two entries: First – enter previously reported incorrect information.
Second – enter corrected information. Refer to the DE 9ADJ form instructions for sample entries.
Incorrect wages and/or PIT information provided. DE 9ADJ Complete Sections I and III for each employee by quarter. Refer to the DE 9ADJ form instructions for sample entries. If the DE 9 was filed incorrectly, also complete Section II.
No SSN reported for employee DE 9ADJ Complete Sections I and III. Section III requires two entries: First – enter all zeros for the SSN filed, employee name, subject wages, PIT wages, and PIT withheld.
Second – enter corrected information. Refer to the DE 9ADJ form instructions for sample entries.
Employee(s) not previously reported DE 9ADJ Complete Sections I and III with unreported employee(s) SSN, name, subject wages, PIT wage and PIT withheld by quarter. If the DE 9 was filed incorrectly, also complete Section II.

For additional assistance, contact the Taxpayer Assistance Center at 1-888-745-3886.

Employer of Household Worker(s) Quarterly Report of Wages and Withholdings (DE 3BHW)
Employer of Household Worker(s) Annual Payroll Tax Return (DE 3HW)

The chart below pertains to annual household employers, most employers, including quarterly household employers, are required to file the DE 9 and DE 9C.

Report to be Adjusted Reason for Adjustment Form Required How to Make Adjustment
Employer of Household Worker(s) Quarterly Report of Wages and Withholdings (DE 3BHW) Incorrect employee Social Security Number (SSN) or name provided. Tax and Wage Adjustment Form (DE 678) Complete Section I, and Section V, which requires two entries: First – enter quarter, incorrect SSN, employee name, and enter zeros in Total Subject Wages, PIT Wages and PIT Withheld.
Second – enter the quarter, correct SSN, employee name and Total Subject Wages, PIT Wages and PIT Withheld. Refer to the DE 678 form instructions for sample entries.
Incorrect employee name reported. (DE 678) Complete Section I and Section V, which requires two entries: First – enter quarter, SSN, incorrect employee name, and enter zeros in Total Subject Wages, PIT Wages and PIT Withheld.
Second – enter the quarter, SSN, correct employee name and Total Subject Wages, PIT Wages and PIT Withheld. Refer to the DE 678 form instructions for sample entries.
Incorrect wages and/or PIT information provided. (DE 678) Complete Section I and Section V. Enter correct wages and/or PIT information for each employee by quarter. Refer to the DE 678 form instructions for sample entries.
No SSN reported for employee (DE 678) Complete Sections I and V. Section V requires two entries: First – enter the quarter, enter all zeros for the SSN filed, employee name, and enter zeros for subject wages, PIT wages, and PIT withheld.
Second – enter the corrected information. Refer to the DE 678 form instructions for sample entries.
Employee(s) not previously reported (DE 678) Complete Sections I and V with unreported employee(s) SSN, name, subject wages, PIT wage and PIT withheld by quarter. If the DE 3HW was filed incorrectly, also complete Section III.
Employer of Household Worker(s) Annual Payroll Tax Return (DE 3HW) Incorrect UI, ETT, SDI, and/or PIT information provided (DE 678) Complete Sections I, III, and IV, with the correct information. If DE 3BHWs were filed incorrectly, also complete Section V. If additional monies are due, send payment with the DE 678 plus penalties and interest, if any.

For additional assistance, contact the Taxpayer Assistance Center at 1-888-745-3886.