New 2013 California Payroll Tax Laws

Author: Rena Pirsos, XpertHR Legal Editor

The following California sections of XpertHR's Employment Law Manual have been updated to reflect new laws effective in 2013. Please continue to check XpertHR for any further updates.

Depositing and Reporting Withheld Taxes: "Business days" (not "banking days") must now be used to determine the remittance date of withholding payments.

Payment of Wages: New pay statement requirements apply to all employers; a special rule will soon apply to temporary services employers.

New Hire Reporting: New definitions of "rehire" and "start-of-work" date apply.

Unemployment and Disability Insurance Taxes: Employers may be denied reimbursements of reserve account overpayments under certain circumstances; the state disability insurance taxable wage base is increased for 2013.

Involuntary and Voluntary Pay Deductions: A new definition of "disposable earnings" and a new maximum amount subject to wage garnishment takes effect in 2013.