Independent Contractor Reporting

You must report independent contractor information to the EDD within 20 days of the scenario which occurs first: making payments totaling $600 or more or entering into a contract for $600 or more, or with an independent contractor in any calendar year. Businesses that transmit electronically must submit 2 monthly reports that are not less than 12 days and not more than 16 days apart. Independent contractors should only be reported once per calendar year for any new or ongoing contracts. No report should be submitted if there are no independent contractors to report.

You are required to provide the following information:

Service-recipient (business or government entity):

• Federal Employer Identification Number (FEIN)
• California employer payroll tax account number (if applicable)
• Business or government entity name, address, and phone number
• Social Security number (SSN) (if no FEIN or California employer payroll tax account number)

Service-provider (independent contractor):

• First name, middle initial, and last name
• Social Security number
• Address
• Start date of contract (if no contract, date payments equal $600 or more)
• Amount of contract, including cents (if applicable)
• Contract expiration date (if applicable)
• Ongoing contract (check box if applicable)

Online with e-Services for Business

• Submit a Report of Independent Contractor(s) (DE 542) on e-Services for Business.
• For more information on reporting independent contractors online, refer to our e-Services for Business FAQs or the Electronic Filing Guide for the Independent Contractor Reporting Program (DE 542M) (PDF).

Mail or Fax

Submit a paper Report of Independent Contractor(s) (DE 542) using one of the following options:

• Downloading a fill-in DE 542 (PDF).
• Ordering the form to be mailed to you through our Online Forms and Publications.
• Printing your data directly from your computer to the DE 542 by following the Print Specifications (PDF).
• Creating your own form with all the required information.
• Calling the Taxpayer Assistance Center at 1-888-745-3886.
• Visiting your nearest Employment Tax Office.

Mail your paper DE 542 to:

Employment Development Department
PO Box 997350, MIC 96
Sacramento, CA 95899-7350

Fax your paper DE 542 to 1-916-319-4410.

A service-recipient may be charged a penalty of $24 for each failure to report within the required time frames, unless the failure is due to good cause. If the failure to report is intentional or if the report is falsified, a penalty of $490 may be charged.

• FAQs - California Independent Contractor Reporting
• Form 1099-NEC or 1099-MISC IRS Filing Requirements
• FTB Nonresident Withholding Process
• Employment Determination Guide (DE 38)(PDF)
• Independent Contractors Misconceptions Brochure (DE 573M)(PDF)
• What Is the Difference Between a Common Law Employee and an Independent Contractor?
• Call the Taxpayer Assistance Center at 1-888-745-3886