CA AB1245

Beginning January 1, 2017, employers with 10 or more employees must file all unemployment insurance reports (contributions, quarterly returns, wage reports) electronically and remit contributions by electronic funds transfer; requirement extends to all employers on January 1, 2018.

Employers subject to electronic filing requirements may request a waiver if they demonstrate lack of automation, severe economic hardship, federal exemption from electronic filing, or other good cause, with approved waivers valid for one year or longer at the director's discretion.

Imposes a $50 penalty on employers who fail to file quarterly returns electronically without good cause; penalty exempted for certain employers from January 1, 2017 through December 31, 2018.

Beginning January 1, 2017, employers subject to electronic filing requirements must remit withheld income taxes by electronic funds transfer within timeframes specified in federal tax code.

Extends existing 15% penalty for late contributions and $20 penalty per unreported wage item to employers who fail to file required reports electronically; penalties exempted for certain employers from January 1, 2017 through December 31, 2018.