BN Daily E-Journal

Starting with the first quarter of 2011, employers will begin filing new:

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

Employers will report their Unemployment Insurance, Employment Training Tax, and State Disability Insurance contributions, along with the Personal Income Tax withholdings, quarterly on the DE 9 instead of annually on the Annual Reconciliation Statement (DE 7). Detailed wage items for each worker will be reported on the DE 9C instead of the Quarterly Wage and Withholding Report (DE 6). Employers will still use the DE 6 and DE 7 for years prior to 2011.

The change to quarterly reporting will allow EDD and employers to identify overpayments more quickly, which will result in faster refunds. In addition, EDD will be able to promptly notify employers of any amounts due.

Registered employers will receive the new forms automatically by mail starting in 2011. The new forms will also be available online and at local EDD offices in December 2010.

Employers will continue to make deposits using the Payroll Tax Deposit (DE 88ALL) form. The quarterly reporting change will not affect deposit and return due dates. Please refer to the California Employer’s Guide (DE 44) for deposit and reporting requirements.

NOTE: This quarterly reporting change does not affect Annual Household employers, Disability Insurance Voluntary Plan filers, or Disability Insurance Elective Coverage filers.

Expanded e-Services for Business

Beginning in the spring of 2011, EDD will significantly expand its e-Services for Business. Employers will be able to conduct more business online with EDD including:

• Viewing account information
• Filing reports
• Paying tax deposits and liabilities

This article was provided by CAEDD, and is available to view at: http://www.edd.ca.gov/Payroll_Taxes/Important_Payroll_Tax_Changes_in_2011.htm

Get your pen and pad of paper ready, 1099 paper that is. As part of the newly enacted Patient Protection and Affordable Care Act signed into law March 23, 2010, by President Obama, businesses will be required to report payments over $600 per year of goods or services made to anyone, including corporations, except entities exempt under 501 (a) charitys and non-profits. Read more here.
This will also effect you if you receive payments through credit card terminal. The credit card processing companies will be sending a new 1099 called 1099-k which will report your income received. Read more about this proposed law here.
You should start getting 1099 information as soon as possible to help aleviate being over paperworked by emailing or sending the form W-9 to all of your vendors. You can get form W-9 here.

“When a powerful Hollywood producer tried to stiff Santa Barbara small-business owner Arturo Gonzalez on half a million dollars of work, the landscaper stood up to the producer in court. And he won.” (read more)

Attention BN Members, Progressive Environmental (Arturo Gonzales) uses our Document Services. He won this case because he followed the law, we filed his 20 Day Preliminary Notice on time and with accurate information. Prelim’s are just $27 for members.

If you are planning to file a lien against your project for non-payment in California, then the first step would be to put all your paperwork in order, then consider the following:

1.) Do you have a complete address?
2.) Do you have the Accessors Parcel Number?
2.) Do you have the owners full name as recorded on the grant deed?
3.) If you did not work directly for the owner, did you file a 20 Day Preliminary Notice?
4.) Should you have a professional file your lien and obtain the above information? If so, you can call 1-877-776-5436 (BN Lien Services).
5.) Lastly, did you try to talk this over with the owner of the property?

All of the items above should be addressed before filing a Mechanics Lien. Builders Notebook supports members by providing a full document preparation service. We can also prepare a “Collection Letter” to see if the owner truely disagrees with payment. We find that 85% of the time there is a miscommunication in paperwork leading the owner to confussion with the project. Construction may seem simple to you (the professional) however the layman may have difficulty understanding Change Orders, Additional Work, and complex changes in the scope of work leading to additional charges.

If you need assistance with your lien, please contact us at 1-877-776-5436 so we can discuss the route you should take to best protect your investment.

By Milene C. Apanian, Esq. Construction Disputes, Stop Notice & Mechanic’s Lien Lawsuits

After recording a Mechanic’s Lien, follow the suggestions below to make sure your Mechanic’s Lien is Collectible!
1. Act quickly. Do NOT procrastinate. Deadlines are critical to your ability to collect! A Mechanic’s Lien binds a property for 90 days only and it expires if a lawsuit is not filed. The lawsuit foreclosing upon the Mechanic’s Lien must be filed no later than 90 days after recordation of the Mechanic’s Lien.
2. Confirm the information on the Mechanic’s Lien is accurate. A Mechanic’s Lien lawsuit will be defeated if you willfully provide a false Mechanic’s Lien or include labor, services or materials not furnished for the property. A Mechanic’s Lien should not include attorneys fees, lost profit, consequential or delay damages.
3. Determine if an additional/successive Mechanic’s Lien is necessary. After recording a Mechanic’s Lien, you may record additional liens for the following reasons, as long as the additional recordations are within the statutory deadlines:
a. To correct an error in the original Mechanic’s Lien
b. To renew an expired Mechanic’s Lien (only if the owner has not already expunged previously recorded but expired Mechanic’s Lien)
c. To rectify a premature Mechanic’s Lien
d. To assert a claim on a separate contract work
4. Gather key information.
a. Name & address of project Owner/Contractor/Lender
b. Project Name/Address/ Assessor’s Parcel Number
c. Project status and/or completion date; If public project, the date project accepted
d. Payment bond information, if applicable
5. Gather important documents.
a. Contract Documents
b. Preliminary 20 Day notice, including any amended notices
c. Recorded Mechanic’s Lien, including any amended and/or successive liens
d. Mechanic’s Lien release bond, if applicable
e. Pay Requests
f. Unpaid Invoices/delivery tickets
g. Letters demanding payment
h. Conditional/Unconditional Release and Waivers
i. Notice of Non-Responsibility
j. Notice of Completion/Notice of Cessation/Acceptance by public entity
6. If you are paid and the check clears the bank, you must provide a Release of Mechanic’s Lien. If you receive partial payment, you must provide a Partial Release of Mechanic’s Lien.
7. Consult with an attorney promptly. Mechanic’s Lien claims are waived if not timely pursued! An attorney will require about a week to prepare the lawsuit and file it with the court. Do not wait until the last day.

Milene C. Apanian can be reached at (818)760-2000 or at ma@argrlaw.net
ATTORNEY ADVERTISMENT: This article is the courtesy of attorney Milene C. Apanian and the Law Offices of Abdulaziz Grossbart & Rudman & in no way creates an attorney-client relationship. The information contained herein is provided as a service to friends & clients and is not meant to be a comprehensive study of California’s Mechanic’s Lien law and/or remedies. The Mechanic’s lien laws & statutes change constantly & each construction project is unique with its own set of facts and circumstances. If you have questions specific to your project and your Mechanic’s Lien, consult an attorney. © 2009 Milene C. Apanian All Rights Reserved.