1099 Misclassification Audit Testimonial: How Milikowsky Tax Law set Realistic Expectations
Facing an audit from the California Employment Development Department (EDD) can be daunting for any business owner, especially when it involves potential 1099 worker misclassifications. The process is complex, the stakes are high, and the regulations are difficult to navigate without expert guidance.
That’s why it’s critical to take swift action when the EDD comes knocking. Watch the video below to learn more about the process.
In this blog, we’ll explore how Mykel , a business owner and founder of Create the Lab, worked with Milikowsky Tax Law to successfully navigate his EDD audit.
Why Mykel Turned to Milikowsky Tax Law
For Mykel, an EDD audit wasn’t something he could tackle alone. His business, an event and film production company based in Hawthorne, California, received a call from the EDD, and he immediately realized he needed expert help.
“It was after that first phone call that I knew we needed professional help,” Mykel said. “This wasn’t our area of expertise, and I didn’t want to make things worse by trying to handle it myself.”
The Challenge of Finding the Right Help
Like many business owners facing audits, Mykel reached out to several firms before finding Milikowsky Tax Law. But the search wasn’t easy.
“I spoke to a lot of companies and lawyers, but many of them overpromised,” Mykel shared. “It reminded me of the entertainment industry—where people say they can deliver something amazing, but it doesn’t always turn out that way.”
What stood out about Milikowsky Tax Law was their honest and straightforward approach.
“One of the refreshing things about working with John [Milikowsky] was that he didn’t overpromise. If anything, he focused on setting realistic expectations,” Mykel said.
Clear Communication and Realistic Expectations
Milikowsky Tax Law’s team explained all possible outcomes of the audit in a way that helped Mykel feel informed and prepared.
“They told me what could happen—the best case, the middle of the road, and even the worst case, though it was unlikely,” he said. “I appreciated their honesty. I didn’t want false promises. I wanted to know the reality so I could prepare for it.”
This realistic approach gave Mykel peace of mind. Knowing the range of possibilities helped him focus on running his business while Milikowsky Tax Law handled the audit.
Turning a Tough Situation Into a Learning Experience
No business owner wants to go through an EDD audit, but with the right support, it can become a valuable learning experience.
“We were able to learn from the situation without it becoming a huge financial setback,” Mykel said. “It was almost like a Hail Mary, but it turned out to be a great opportunity to grow and improve.”
Milikowsky Tax Law’s ability to navigate the complexities of the EDD audit process ensured that Mykel’s business didn’t just survive—it came out stronger.
What Milikowsky Tax Law Did Differently
Here are a few key ways Milikowsky Tax Law stood out during Mykel’s case:
- Thorough Evaluation
They took the time to review Mykel’s case in detail, identifying potential risks and building a solid strategy. - Clear, Honest Communication
Their team explained every possible outcome, giving Mykel a realistic picture of what to expect. - Strong Advocacy
Milikowsky Tax Law handled the EDD directly, fighting to protect Mykel’s business and its interests. - Proactive Support
Even after the audit, they provided guidance to help prevent similar issues in the future.
Advice for Business Owners Facing an EDD Audit
If your business is being audited, Mykel’s advice is simple: Get professional help right away.
“Don’t try to handle an EDD audit on your own,” he said. “It’s too complex, and the risks are too high. You need someone who understands the process and can guide you through it.”
Mykel also emphasizes the importance of working with professionals who are honest and realistic.
“Find someone who tells you the truth about what’s possible, not someone who just tells you what you want to hear,” he said. “That’s what made Milikowsky Tax Law different—they prepared me for every scenario.”
What Should You Do If the EDD Audits Your Business?
If you need help preparing for, or navigating an audit from EDD, contact our team of experts at Milikowsky Tax Law.
Our team specializes in EDD audits and will:
- Evaluate your case thoroughly
- Communicate clearly and honestly
- Fight to protect your business
- Provide ongoing support to prevent future issues
Take it from Mykel: “They gave me peace of mind and made sure my business came out stronger.”
