DE 231TE Rev. 1 (5-16) (INTERNET) Page 1 of 17 CU
TYPES OF EMPLOYMENT
The following table identifies special classes of employment and whether the type of employment is subject to
California payroll taxes. For additional information on the taxability for a particular type of employment, refer to the
code section(s) noted under the specific tax. If you have questions regarding an individual’s proper status in working
for/with you, please contact the Taxpayer Assistance Center at 888-745-3886.
In addition to this table, the Employment Development Department (EDD) has prepared the Information Sheet:
Types of Payments (DE 231TP) and information sheets for specific industries, types of services, or types of
payments. To obtain the information sheets, access the EDD website at
www.edd.ca.gov/Payroll_Taxes/Forms_and_Publications.htm, or contact the Taxpayer Assistance Center
at 888-745-3886. If outside the United States or Canada, call 916-464-3502.
Code references: California Code of Regulations (CCR), California Unemployment Insurance Code (CUIC), Internal
Revenue Code (IRC), Education Code, and the United States Code (USC).
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Agricultural Labor
Also, refer to federal Agricultural
Employer’s Tax Guide,
(Internal Revenue Service [IRS]
Publication 51, Circular A).
A. Workers hired, trained, and paid
by a farm operator.
B. Workers supplied to a farm
operator but hired, trained, and
paid by a farm labor contractor
that is registered under the
Migrant and Seasonal
Agricultural Worker Protection
Act, or the workers supplied
operate or maintain tractors,
harvesting or crop-dusting
machines, or other machines
provided by the farm labor
contractor.
Subject
Sections 611
and 621(b)
of the CUIC
Subject
Sections 621(b)
and 606.5
of the CUIC
Subject
Sections 611
and 621(b)
of the CUIC
Subject
Sections 621(b)
and 606.5
of the CUIC
Not Subject
2*
Section 13009(a)
of the CUIC
Not Subject
2*
Section 13009(a)
of the CUIC
Reportable
Section 13009.5(a)(2)
of the CUIC
Reportable
Section 13009.5(a)(2)
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 2 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Artists and Authors:
A.
Common law employees.
B.
Statutory employees hired for
specific work in the motion picture,
radio, or television industry. Refer to
Information Sheet: Statutory
Employees (DE 231SE).
C.
Statutory employees hired as
author of a commissioned or
specific ordered work agreed in
signed contract to be a “work made
for hire,” as defined in Section 101
of Title 17, USC. Refer to
Information Sheet: Statutory
Employees (DE 231SE).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Sections 601.5
and 621(d)
of the CUIC
Subject
Sections 601.5
and 621(d)
of the CUIC
Not subject
Section 4304-1
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Subject
Sections 621(d)
and 686
of the CUIC
Subject
Sections 621(d)
and 686
of the CUIC
Not subject
Section 4304-1
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Automotive Repair Industry
Refer to Information Sheet: Automotive
Repair Industry (DE 231B).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Barbers and Cosmetologists
Refer to Information Sheet: Barbering
and Cosmetology Industry (DE 231C).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Baseball Players
Subject
unless under
agreement to
perform for
expenses and a
share of the profits
of the club.
Section 653
of the CUIC
Subject
unless under
agreement to
perform for
expenses and a
share of the profits
of the club.
Section 653
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Brokers and/or Salespersons
(does not apply to nonprofit or public
agencies):
A.
Real estate brokers or
salespersons.
B.
Mineral, oil, and gas brokers.
C.
Yacht brokers or salespersons.
D.
Direct sales salespersons.
Not subject
3*
Section 650
of the CUIC
Not subject
3*
Section 650
of the CUIC
Not subject
3*
Section 13004.1
of the CUIC
Not reportable
3*
Section 13004.1
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 3 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Brokers and/or Salespersons
(does not apply to nonprofit or public
agencies): (cont.)
E.
Cemetery brokers or
salespersons.
Note: Before Section 650 of the
CUIC exclusion may be applied, the
brokers and/or salespersons must be
employees under the usual common
law rules applicable in determining
the employer-employee relationship.
Not subject
3*
Section 650
of the CUIC
Not subject
3*
Section 650
of the CUIC
Subject
if common law
employee
Section 13009
of the CUIC
Reportable
if common law
employee.
Section 13009.5
of the CUIC
Casual Labor:
Refer to Information Sheet: Casual
Labor (DE 231K).
A.
Part-time or temporary workers.
B.
Service not in the course of
employer’s trade or business:
• Noncash payments
(e.g.,
meals and lodging).
• Cash payments.
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section 936
of the CUIC
Not subject
Section 936
of the CUIC
Not subject
Section 13009(h)
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Subject
only if $50 or
more is paid in a
quarter and
employee works
some part of 24
or more different
days in that
quarter or on 24
or more days in
the preceding
quarter.
Section 640
of the CUIC
Subject
only if $50 or
more is paid in a
quarter and
employee works
some part of 24
or more different
days in that
quarter or on 24
or more days in
the preceding
quarter.
Section 640
of the CUIC
Subject
only if $50 or
more is paid in a
quarter and
employee works
some part of 24
or more different
days in that
quarter or on 24
or more days in
the preceding
quarter.
Section 13009(c)
of the CUIC
Reportable
only
if $50 or
more is paid in a
quarter and
employee works
some part of 24
or more different
days in that
quarter or on 24
or more days in
the preceding
quarter.
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 4 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Construction Contractors
Refer to Information Sheet:
Construction Industry (DE 231G).
Subject
unless contractor
has a valid
contractor’s
license and is not
a common law
employee.
Sections 621(b)
or 621.5
of the CUIC
Subject
unless contractor
has a valid
contractor’s
license and is not
a common law
employee.
Sections 621(b)
or 621.5
of the CUIC
Subject
unless contractor
has a valid
contractor’s
license and is not
a common law
employee.
Sections 13009
or 13004.5
of the CUIC
Reportable
unless contractor
has a valid
contractor’s
license and is not
a common law
employee.
Section 13009.5
of the CUIC
Corporate Officer
performing services as an
employee:
A. Corporation subject to Federal
Unemployment Tax Act (FUTA).
Refer to Sole
Shareholder/Corporate Officer
Exclusion Statement (DE 459).
B. Corporation not subject to FUTA.
Subject
Section 621(a)
of the CUIC
Subject
unless sole
shareholder, or
the only
shareholder other
than his or her
spouse or
registered
domestic partner,
and has filed an
exclusion for SDI
(DE 459).
Sections 621(a)
and 637.1
of the CUIC
Subject
unless agricultural
labor.
Sections 13009
and 13009(a)
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
unless excluded
as an officer
and/or director
who is sole
shareholder or
the only
shareholder other
than his or her
spouse or
registered
domestic partner.
Section 637
of the CUIC
Subject
unless excluded
as an officer
and/or director
who is the sole
shareholder or
the only
shareholder other
than his or her
spouse or
registered
domestic partner.
Section 637
of the CUIC
Subject
unless agricultural
labor.
Sections 13009
and 13009(a)
of the CUIC
Reportable
if otherwise
required to register
with the EDD.
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 5 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Election Campaign Workers
for candidates for public office or
committees in connection with an
election campaign. Refer to
Information Sheet: Election
Campaign Workers (DE 231V).
Not subject
Section 636
of the CUIC
Not subject
Section 636
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Election Officials or Election
Workers
Subject
if the individual’s
remuneration
reasonably
expected to be
received during
the calendar year
for such service
will be $1,000 or
more.
Section 634.5(c)(7)
of the CUIC
Not subject
generally,
unless an
elective coverage
agreement is
in place.
Sections 605
and 2606
of the CUIC
Not subject
since considered
fee paid to a
public official.
Section 13009
of the CUIC
and
Section 4309-2(b)(2)
of Title 22, CCR
Not reportable
since considered
fee paid to a
public official.
Section 13009.5
of the CUIC
Family Employees
Child under age of 18 years
employed by own father or mother;
an individual employed by own
son, daughter, spouse, or
registered domestic partner.
Refer to Information Sheet: Family
Employment (DE 231FAM) and
Information Sheet: Specialized
Coverage (DE 231SC).
Not subject
(Only applies
to sole
proprietorships
and partnerships
if the same
relationship
exists with each
partner
individually).
Section 631
of the CUIC
Not subject
unless an
approved
elective coverage
agreement is
in effect.
(Only applies
to sole
proprietorships
and partnerships
if the same
relationship
exists with each
partner
individually).
Section 631
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 6 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Federal Employees:
A.
Members of the U.S. armed
forces.
Not subject
Section 632
of the CUIC
Not subject
Section 632
of the CUIC
Subject
if stationed in and
domiciled in
California; both
conditions must
be present.
Section 4305-1(d)
of Title 22, CCR
Reportable
if stationed in and
domiciled in
California; both
conditions must
be present.
Section 13009.5
of the CUIC
B.
Federal civilian employees.
Not subject
(Certain nonprofit
organizations
which are
instrumentalities
of the federal
government pay
cost of benefits.)
Section 632
of the CUIC
Not subject
Section 632
of the CUIC
Subject
Section 4305-1(d)
of Title 22, CCR
Reportable
Section 13009.5
of the CUIC
Fishing and Related Activities
Refer to Information Sheet:
Commercial Fishing (DE 231CF).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Not subject
Section 13009(j)
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Foreign Government and
International Organizations
Not subject
Sections 643,
644, and 644.5
of the CUIC
Not subject
Sections 643,
644, and 644.5
of the CUIC
Not subject
Section 13009(d)
of the CUIC
Not reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 7 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Foreign Service Performed by a
U.S. Citizen:
A.
U.S. government employee.
B.
For an American employer or
a foreign subsidiary of U.S.
corporation or other private
employer. Refer to Information
Sheet: Foreign Employment and
Employment on American
Vessels or Aircraft (DE 231FE).
Not subject
Section 632
of the CUIC
Not subject
Section 632
of the CUIC
Subject
if employee
is a California
resident.
Section 13009
of the CUIC
Reportable
if employee
is a California
resident.
Section 13009.5
of the CUIC
Subject
4*
Section 610
of the CUIC
Subject
4*
Section 610
of the CUIC
Subject
if employee
is a California
resident
paid by employer
who pays
California wages,
does business in
California, derives
California income,
or is subject to
laws of California.
Sections 13005
and 13009
of the CUIC
Reportable
4*
if employee
is a California
resident.
Section 13009.5
of the CUIC
Golf Caddies
Not subject
Section 651
of the CUIC
Not subject
Section 651
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Homeworkers (Industrial):
A.
Common law employees
Refer to Information Sheet:
Employment (DE 231).
B.
Statutory employees
Refer to Information Sheet:
Statutory Employees (DE 231SE).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Section 621(c)(1)(C)
of the CUIC
Subject
Section 621(c)(1)(C)
of the CUIC
Not subject
Section 4304-1
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Hotel Industries
Refer to Information Sheet: Restaurant
and Hotel Industries (DE 231E).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 8 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Household Employment
in private home, local college club,
fraternity, or sorority.
Refer to Information Sheet:
Household Employment (DE 231L),
Household Employer’s Guide
(DE 8829), and the federal
Household Employer’s Tax Guide
(IRS Publication 926).
Subject
once $1,000 or
more in cash is
paid in a calendar
quarter for
household
services.
Sections 629,
639, and 682
of the CUIC
Subject
once $750 or
more in cash is
paid in a calendar
quarter for
household
services.
Sections 684
and 2606.5
of the CUIC
Not subject
2*
Section 13009(b)
of the CUIC
Reportable
if otherwise
required to
register with
the EDD.
Section
13009.5(a)(2)
of the CUIC
Interns Employed in Hospitals
who have completed a four-year
program of study in a medical
school when completing their
internship at the hospital.
Not subject
Section 645
of the CUIC
Not subject
Section 645
of the CUIC,
unless in the
employ of a
nonprofit or
district hospital.
Section 2606
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Janitors
(Business Services Industry)
Refer to Information Sheet:
Service Industries (DE 231I).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Jockeys or Exercise Persons
working free-lance, if licensed
by the California Horse Racing
Board.
Not subject
Section 654
of the CUIC
Not subject
Section 654
of the CUIC
Subject
if a common law
employee.
Section 13009
of the CUIC
Reportable
if a common law
employee.
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 9 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Limited Liability Company
Members
Refer to Information Sheet: Limited
Liability Entities (DE 231LLC).
A. Any member of an LLC treated
as a corporation for federal
income tax purposes.
B. Any member of an LLC treated
as a partnership for federal
income tax purposes.
Note: The CUIC requires the EDD to
treat an LLC as a unique entity type
and does not authorize the treatment
of an LLC as a sole proprietorship,
partnership, or corporation.
Subject
Section 621(f)
of the CUIC
Subject
Section 621(f)
of the CUIC
Subject
if compensation
is deductible
pursuant to
Section 162
of the IRC.
Sections 928.7
and 13009
of the CUIC
Reportable
if compensation
is deductible
pursuant to
Section 162
of the IRC.
Section 13009.5
of the CUIC
Not subject
Section 623
of the CUIC
Not subject
Section 623
of the CUIC
Not subject
Section 13004.6
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Manufacturing Industry
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Ministers
who are duly ordained,
commissioned, or licensed in the
exercise of their ministry and
members of a religious order in the
exercise of duties required by such
order, may elect coverage.
Refer to Information Sheet:
Specialized Coverage (Elective
Coverage for Exempt Workers)
(DE 231SC)
Not subject
Section 634.5(b)
of the CUIC
Not subject
unless an
approved
elective coverage
agreement is in
effect.
Section 634.5(b)
of the CUIC
Not subject
2*
Section 13009(f)
of the CUIC
Reportable
if otherwise
required to
register with
the EDD.
Section 13009.5(a)(2)
of the CUIC
Multistate Employment
Refer to Information Sheet:
Multistate Employment (DE 231D).
Subject
Sections 602
and 603
of the CUIC
Subject
Sections 602
and 603
of the CUIC
Go to
www.edd.ca.gov/
pdf_
pub_ctr/
de231d.pdf
Go to
www.edd.ca.gov/
pdf_
pub_ctr/
de231d.pdf
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 10 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Newspaper Carriers
under the age of 18 years in the
delivery or distribution of newspapers
or shopping news to consumers.
Not subject
if not regular,
full-time work.
Sections 634.5(g)
and 649(a)
of the CUIC
Not subject
if not regular,
full-time work.
Sections 634.5(g)
and 649(a)
of the CUIC
Not subject
2*
Section 13009(g)(1)
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Newspaper and Magazine Vendors
buying at fixed prices and retaining
excess from sales to consumers.
Not subject
Sections 634.5(h)
and 649(b)
of the CUIC
Not subject
Sections 634.5(h)
and 649(b)
of the CUIC
Not subject
Section 13009(g)(2)
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Nonprofit Organization
Employees:
Refer to Information Sheet: Nonprofit
and/or Public Entities (DE 231NP).
A.
In the employ of churches,
conventions, or associations of
churches, or religious
organizations which are operated
primarily for religious purposes and
operated, supervised, controlled,
or principally supported by a
church, convention, or association
of churches. (Also, refer to ministers
and members of religious orders.)
B.
Elected or appointed officials of
nonprofit fraternal organizations if
earnings do not exceed $100 a
month.
C.
All other nonprofit organizations
exempt under Section 501(c)(3)
of the IRC except those under
“A” and “B” above.
D.
All other organizations exempt
pursuant to Section 501(a) of the
IRC, other than a pension,
profit-sharing, or stock bonus
plan described in Section 401(a)
of the IRC or in Section 521
of the IRC.
Not subject
Section 634.5(a)
of the CUIC
Not subject
Sections 634.5(a)
and 645
of the CUIC,
unless employed
by a nonprofit
hospital,
Section 2606
of the CUIC
or while an
approved
elective coverage
agreement is in
effect.
Subject
Section 13009
of the CUIC
(except ministers
and members of
religious orders)
Reportable
Section 13009.5
of the CUIC
Not subject
Section 652
of the CUIC
Not subject
Section 652
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
(If remuneration
for services
performed in any
calendar quarter
is less than $50,
services are
excluded or
not subject).
Section 641
of the CUIC
Subject
(If remuneration
for services
performed in any
calendar quarter
is less than $50,
services are
excluded or
not subject).
Section 641
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Section 608
of the CUIC
Subject
Section 608
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 11 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Nonresidents of California:
A.
U.S. residents:
•
Service performed in
California.
•
Service performed outside
U.S.
B.
Aliens Working in California:
•
Residents of Canada or
Mexico entering California
frequently in transportation
service across the border.
•
Residents of Canada or
Mexico entering California
frequently for construction,
maintenance, or operation of
waterway, bridge, etc.,
traversing the border.
•
Residents of any foreign
country entering California
frequently, employed wholly
within California.
•
Workers from any foreign
country or its possession
lawfully admitted on a
temporary basis to perform
agricultural labor.
Subject
Section 601
of the CUIC
Subject
Section 601
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
if employee is a
U.S. citizen, and
the employer’s
principal place of
business in U.S.
is in California.
4*
Section 610
of the CUIC
Subject
if employee is a
U.S. citizen, and
the employer’s
principal place of
business in U.S.
is in California.
4*
Section 610
of the CUIC
Not subject
Section 13009
of the CUIC
Not reportable
Section 13009.5
of the CUIC
Subject
unless railroad
service
Section 621(b)
of the CUIC
Subject
unless railroad
service
Section 621(b)
of the CUIC
Not subject
Section 13009(e)
of the CUIC and
Section
4309-2(f)(2)(A)
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Not subject
Section
4309-2(f)(2)(B)
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Sections 611
and 621(b)
of the CUIC
Subject
Sections 611
and 621(b)
of the CUIC
Not subject
2*
Section 13009(a)
of the CUIC
Reportable
Section
13009.5(a)(2)
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 12 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Nonresidents of California: (cont.)
•
Students, scholars, trainees, or
teachers as nonimmigrant
aliens under sections of the
Immigration and Nationality
Act (INA).
6*
• Professional athlete, in
California for occasional or
incidental engagements.
Subject
unless excluded
pursuant to
Section 642
of the CUIC,
or if a nonresident
nonimmigrant
temporarily
residing in U.S.
and performs
services for a
Section 608
of the CUIC
nonprofit
employer to carry
out the purpose
specified in the
employee’s “F”,
“J”, “M”, or “Q”
type visa.
Subject
unless excluded
pursuant to
Section 642
of the CUIC,
or if a nonresident
nonimmigrant
temporarily
residing in U.S.
and performs
services for a
Section 608
of the CUIC
nonprofit
employer to carry
out the purpose
specified in the
employee’s “F”,
“J”, “M”, or “Q”
type visa.
Subject
unless exempted
by regulations or
treaty with a
foreign
government.
Treaty must
specify
exemption from
“state or local
taxes.”
Section 13009(e)
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section 655
of the CUIC
Not subject
Section 655
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Patients
employed by hospitals.
Not subject
Section 647
of the CUIC
Not subject
unless nonprofit
or
district hospital.
Sections 647
and 2606
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Private Postsecondary School
Intermittent and Adjunct
Instructors
Services must be performed for an
institution that meets requirements
of the Education Code, Article 9
(commencing with Section 94900),
Chapter 8, Part 59.
Subject
Section 621(b)
of the CUIC
Not subject
5*
Section 633
of the CUIC
Not subject
5*
Section 13009(r)
of the CUIC
Not reportable
5*
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 13 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Public Entity Employees
of cities and counties, local public
agencies, and schools.
Refer to Information Sheet:
Nonprofit and/or Public Entities
(DE 231NP) and Information
Sheet: Specialized Coverage
(DE 231SC).
Subject
Section 605
of the CUIC
Not subject
unless employed
by a district
hospital or public
housing
administration
agency operated
by state or local
governmental
subdivisions or
an approved
elective coverage
agreement is in
effect.
Sections 605
and 2606
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Restaurant Industries
Refer to Information Sheet:
Restaurant and Hotel Industries
(DE 231E).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Salespersons:
Refer to Information Sheet:
Salespersons (DE 231N).
A.
Common law employees.
B.
Real estate or direct sales
salespersons.
C.
Traveling or city salespersons.
Refer to Information Sheet:
Statutory Employees
(DE 231SE).
Subject
Section 621(b)
of the CUIC
Subject
Section 621(b)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
3*
Section 650
of the CUIC
Not subject
3*
Section 650
of the CUIC
Not subject
3*
Section 13004.1
of the CUIC
Not reportable
3*
Section 13009.5
of the CUIC
Subject
Section 621(c)(1)(B)
of the CUIC
Subject
Section 621(c)(1)(B)
of the CUIC
Not subject
Section 4304-1
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 14 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Services on or in Connection With
an American Aircraft or Vessel,
and such services are subject to
the
Federal Unemployment Tax Act (FUTA).
Refer to Information Sheet: Foreign
Employment and Employment on
American Vessels or Aircraft
(DE 231FE).
Subject
if the operations
are ordinarily and
regularly directed
and controlled
from the
employer’s
California office.
Sections 125.3,
125.5, and 609
of the CUIC
Subject
if the operations
are ordinarily and
regularly directed
and controlled
from the
employer’s
California office.
Sections 125.3,
125.5, and 609
of the CUIC
Subject
if services are
performed on an
aircraft by a
California
resident or by a
nonresident if
more than 50% of
the nonresident’s
scheduled flight
time for the
calendar year
is in California.
Section 13009
of the CUIC and
Section 40116(f)
of Title 49, USC
Not subject
if services are
performed on a
vessel.
Reportable
if services are
performed on an
aircraft by a
California
resident or by a
nonresident if
more than 50% of
the nonresident’s
scheduled flight
time for the
calendar year
is in California.
Section 13009.5
of the CUIC and
Section 40116(f)
of Title 49, USC
Not reportable
if services are
performed on a
vessel.
Standby Employee
doing no actual work in period
for which paid.
Subject
Section 926
of the CUIC
Subject
Section 926
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
State Government and Political
Subdivisions
9*
Services performed as:
A. An elected official.
Not subject
Section
634.5(c)(1)
of the CUIC
Not subject
Section
634.5(c)(1)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
B.
A member of a legislative body
or a member of the judiciary, or
a state or political subdivision.
Not subject
Section
634.5(c)(2)
of the CUIC
Not subject
Section
634.5(c)(2)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
C.
A member of a state National
Guard, Ready Reserve, or
Air National Guard.
Not subject
Section
634.5(c)(4)
of the CUIC
Not subject
Section
634.5(c)(4)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 15 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
State Government and Political
Subdivisions
9*
Services performed as: (cont.)
D.
An employee serving on a
temporary basis in case of fire,
storm, snow, earthquake, flood,
or other similar emergency.
E.
In a position which, under or
pursuant to state law, is
designated as either of the
following:
•
A major, nontenured
policy-making or advisory
position.
•
A policymaking or advisory
position, the performance of
the duties of which ordinarily
does not require more than
eight hours per week.
F.
Employees of state or
local governments and
instrumentalities not included
above.
G.
Fees of public officials.
Not subject
Section
634.5(c)(5)
of the CUIC
Not subject
Section
634.5(c)(5)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section
634.5(c)(6)(A)
of the CUIC
Not subject
Section
634.5(c)(6)(A)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section
634.5(c)(6)(B)
of the CUIC
Not subject
Section
634.5(c)(6)(B)
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Section 605
of the CUIC
Not subject
unless an
approved election
by a bargaining
unit is in effect.
Section 710.5
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Subject
Section 926
of the CUIC
Subject
Section 926
of the CUIC
Not reportable
Section 4309-2(b)
of Title 22, CCR
Not reportable
Section 13009.5
of the CUIC
Students:
A. Working for a public or private
school, college, or university, if
enrolled and regularly attending
classes at that school.
Not subject
Section 642
of the CUIC
Not subject
Section 642
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
B.
Spouse or registered domestic
partner of student, if such person
is advised at the time service
commences at the school that
employment is provided under a
program to
provide financial
assistance to the student by the
school, college, or university and
that
employment will not be
covered by any program of
unemployment insurance or
disability compensation.
Not subject
Section 642
of the CUIC
Not Subject
Section 642
of the CUIC
Subject
Section 13009.5
of the CUIC
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 16 of 17 CU
Types of Employment
TREATMENT FOR TAX PURPOSES
Unemployment
Insurance
and
Employment
Training Tax
1*
State
Disability
Insurance
Personal
Income Tax
Withholding
Personal
Income Tax
Wages
Students: (cont.)
C.
Under age of 22 years enrolled at
a nonprofit or public educational
institution in a full-time program.
Institution must normally maintain
a regular faculty and curriculum,
and normally have a regularly
organized body of students in
attendance at place where its
educational activities are located.
Student’s service must be taken
for credit at such institution. It
must combine academic
instruction with work experience.
It must be an integral part of such
program, and the institution must
have so certified to the employer.
D.
Student nurse in the employ of a
hospital or nurses’ training school,
and enrolled and regularly
attending classes at nurses’
training school that is chartered
or approved pursuant to state law.
E.
Full-time students
7*
in the employ
of an organized camp.
8*
Not subject
unless program
established solely
for one employer
or one group of
employers.
Section 646
of the CUIC
Not subject
unless program
established solely
for one employer
or one group of
employers.
Section 646
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section 645
of the CUIC
Subject
if employed by a
nonprofit or
district hospital.
Section 2606
of the CUIC
Not subject
if employed by
any other hospital
or nurses’
training school.
Section 645
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Not subject
Section 642.1
of the CUIC
Not subject
Section 642.1
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Temporary Services and
Employee Leasing Industries
Refer to Information Sheet:
Temporary Services and Employee
Leasing Industries (DE 231F).
Subject
Sections 621(b)
and 606.5
of the CUIC
Subject
Sections 621(b)
and 606.5
of the CUIC
Subject
Section 13009
of the CUIC
Reportable
Section 13009.5
of the CUIC
Transcribers
of depositions, court proceedings,
and hearings performed away from
the office of the person, firm, or
association obligated to produce a
transcript of
the proceedings.
Not subject
Section 630
of the CUIC
Not subject
Section 630
of the CUIC
Not subject
Section 4304-1
of Title 22, CCR
Reportable
Section 13009.5
of the CUIC
*Refer to page 17 for endnotes.
DE 231TE Rev. 1 (5-16) (INTERNET) Page 17 of 17 CU
Endnotes
1
Employers who have elected the “cost of benefits method” (i.e., “reimbursable method”) of financing Unemployment
Insurance Fund or who have a negative reserve account balance are not required to contribute to the Employment
Training Tax Fund.
2
Subject if employer and employee voluntarily agree to withhold California Personal Income Tax.
3
Not subject if all three of the following conditions are met:
a) The individual has the required license to perform the services or is in the business of in-person
demonstration and sales presentation of consumer products in the home.
b) Substantially all payments are directly related to sales or other output rather than the number of hours worked.
c) Services are performed pursuant to a written contract that provides the individual will not be treated as an
employee with respect to those services for state tax purposes.
4
Services are included if the employer’s principal place of business in the United States is in California or if the
employer has no place of business in the United States but:
a) The employer is an individual who is a resident of California; or
b) The employer is a corporation or limited liability company, which is organized under the laws of California; or
c) The employer is a partnership or a trust and the number of partners or trustees who are residents of California
is greater than the number who are residents of any one other state.
If none of the criteria above applies, but the employer has elected coverage in California or the employer has not
elected coverage in any state and an individual has filed for benefits in California, based on such service.
5
Not subject if service is performed under written contract with all of the following provisions:
a) Any federal or state income tax liability shall be the responsibility of the party providing the services.
b) No disability insurance coverage is provided under the contract.
c) The party performing the services certifies that he or she is doing so as a secondary occupation or
as a supplemental source of income.
6
As referenced in Section 608 of the CUIC, “employment” excludes services performed by a nonresident alien for
the period temporarily in the U.S. as a nonimmigrant pursuant to Section 3306(c)(19) of the IRC.
7
Full-time student – enrolled full-time for the current term of an academic year or, if between terms, for the
immediately preceding period with a reasonable assurance of enrollment in the immediately subsequent
period.
8
Organized camp – offers outdoor group living experience for social, spiritual, educational, or recreational purposes;
must not operate more than seven months a year, or at least two-thirds of its previous yearly gross income must
have been in any six of the 12 months of the year.
9
An elected official is not eligible to collect Unemployment Insurance benefits based on income earned from his
or her service as an elected official.
Note: A registered domestic partner means an individual partner in a domestic relationship within the meaning of
Section 297 of the Family Code.
The California Unemployment Insurance Code is available online at www.leginfo.ca.gov/calaw.html.
ADDITIONAL INFORMATION
For further assistance, please contact the Taxpayer Assistance Center at 888-745-3886 or visit your local
Employment Tax Office listed in the California Employer’s Guide (DE 44) and on the EDD website at
www.edd.ca.gov/Office_Locator/. Additional information is also available through the EDD no-fee
payroll tax seminars and online courses. View the in-person and online course offerings on the EDD
website at http://www.edd.ca.gov/Payroll_Tax_Seminars/.
The EDD is an equal opportunity employer/program. Auxiliary aids and services are available upon
request to individuals with disabilities. Requests for services, aids, and/or alternate formats need to be
made by calling 888-745-3886 (voice) or TTY 800-547-9565.
provide information that is consistent with the appropriate statutes, rules, and administrative and court decisions. Any information that is
inconsistent with the law, regulations, and administrative and court decisions is not binding on either the Employment Development Department