< Back to California Unemployment

Katherine Shultz

EDD saying husband's entire pandemic unemployment marked as disqualified - tax refund seized with no notice

I'm in complete shock right now. My husband just discovered that ALL his unemployment benefits from 2020-2021 have been marked as "Disqualified" and listed as an "Overpayment" in the EDD system. We had NO IDEA this was happening until his tax refund was intercepted this year! Here's the situation: He worked at a manufacturing plant for 3+ years before they completely shut down operations during the pandemic lockdowns in March 2020. He applied for unemployment legitimately, certified every two weeks as required, and reported when he eventually found part-time work. We relocated to Nevada in summer 2021 after he found full-time employment there. We never received ANY notices about an overpayment or disqualification issue. Not a letter, email, message in the EDD portal - absolutely nothing. Now suddenly they've taken his entire tax refund of $4,200 with no warning and his account is showing he owes back ALL the benefits paid (around $28,000)! I've tried calling EDD countless times today but keep getting the "too many callers" message and disconnected. The UI Online account just shows each payment marked as "Disqualified" but gives zero explanation WHY. Is there any way to appeal this at this point? How can we even find out what happened when we can't reach anyone? Has anyone else had their entire pandemic unemployment retroactively disqualified years later with no notification? I'm desperate for guidance here.

Marcus Marsh

•

omg yes unfortunately this is happening to ALOT of people. my cousin got hit with the same thing, they said he didnt provide income verification or something even tho he uploaded all his w2s and paystubs when he applied!! EDD is retroactively going back and reviewing all pandemic claims and hitting ppl with these overpayment notices but the worst part is they dont actually notify everyone properly!! you should check if your mail forwarding from california expired, might be why u didnt get any notices.

0 coins

I didn't even think about the mail forwarding! We set it up when we moved but it probably expired after a year. So frustrating they wouldn't at least email or message through the portal for something this important!

0 coins

This is unfortunately common with out-of-state relocations during the pandemic. There are a few critical steps you need to take immediately: 1. File a formal appeal - you have 30 days from when the tax intercept was processed (not from when you discovered it) to appeal. The fact you never received notification is grounds for appeal. 2. Request your case documents through a formal records request - this will show what triggered the disqualification. 3. Check your UI Online account for any correspondence in the inbox you might have missed. 4. Gather ALL documentation from his employment: termination notice, final paystubs, any communications about the business closure, and all certification records. This sounds like either an identity verification issue or they're claiming he didn't meet eligibility requirements. Did he receive any kind of severance when the manufacturing plant closed?

0 coins

Thank you for these detailed steps! No, he didn't receive any severance - the company completely shuttered operations with barely a week's notice. How do we file the appeal if we can't get through on the phone? Is there a form we can download somewhere?

0 coins

Cedric Chung

•

U NEED TO CALL THEM DIRECTLY!!! This is the ONLY way to fix this. They're doing this to thousands of people hoping you'll just give up and pay it. I had a similar situation last year - I was getting nowhere with the regular EDD number, always busy signals or disconnects. I finally used this service called Claimyr (claimyr.com) that gets you through to an EDD rep quickly - you can check their demo video here: https://youtu.be/JmuwXR7HA10?si=TSwYbu_GOwYzt9km. It was literally the only way I could get through and resolve my issue. Took about 2 calls but I got someone who actually explained what happened and helped me file my appeal. Until you talk to an actual human at EDD, you won't know what triggered the disqualification. Could be identity verification, eligibility issue, or even something as simple as a system error.

0 coins

Talia Klein

•

is this claimyr thing legit? seems sketchy to pay just to call edd

0 coins

Cedric Chung

•

100% legit - I was skeptical too at first but it actually works and saved me weeks of stress trying to get through. They just help you bypass the phone queue. The EDD reps actually explained my overpayment was due to a quarterly income review that flagged my account incorrectly.

0 coins

This is likely related to the post-pandemic review of PUA (Pandemic Unemployment Assistance) claims. EDD is required by federal law to verify eligibility for all pandemic-related claims, and they're going through these systematically. The most important thing to know: YOU HAVE APPEAL RIGHTS. You can file an appeal using the DE 1000M form. Here's what to do: 1. Download and print the DE 1000M form from the EDD website 2. Complete it with a clear explanation that you never received notification of the disqualification 3. Include that your husband's job closed due to COVID (specify exact business name) 4. Note that you moved out of state and mail forwarding likely expired 5. Mail it with delivery confirmation to the address on the form You should also request a formal hearing. These are often successful because many of these mass disqualifications are done automatically by computer systems without proper review. Once a human reviews your husband's case with the proper documentation, these can often be reversed. Additionally, request an "overpayment waiver" if your husband truly qualified for the benefits. The form for this is DE 1446W.

0 coins

Thank you for explaining this so clearly! It makes sense now - this must be part of that mass review of pandemic claims. I'll download those forms right away. Do we need to send copies of his original paystubs and employment verification with the appeal form?

0 coins

Yes, absolutely include copies (not originals) of all documentation: final paystubs before layoff, any termination notice, W-2s for 2019/2020, and if possible, any communication from his employer about closing due to COVID. The more documentation showing he legitimately qualified, the better your chances on appeal.

0 coins

Marcus Marsh

•

btw u should check if this was because of the ID verification thing!! my friend got disqualified cuz they said he never completed id.me verification even tho he did!! the weird thing was they approved all his payments then 2 years later they said oops nevermind we cant verify ur identity give everything back!

0 coins

PaulineW

•

This is a HUGE issue with EDD right now. They approved claims during the pandemic chaos without proper verification, then years later decided to enforce stricter standards retroactively. It's completely unfair and likely illegal, but they're doing it anyway. I've heard of hundreds of cases like this in the Facebook EDD support groups.

0 coins

sorry yr going thru this... the same exact thing happened to me last year!!!! i never got any notices either and they took my refund too. turns out they were sending notices to my old address even tho i updated my address in the edd portal!! when i finally reached someone (took like 40 calls) they said it was because i didnt respond to some income verification request they sent in 2021. i had to file an appeal and it took 4 months but i eventually won and got my tax refund back. dont give up!!

0 coins

PaulineW

•

The EDD is deliberately making this process difficult. They've been overwhelmed with fraud cases (some real, many falsely flagged) and their solution is to mass-disqualify claims and put the burden of proof on claimants. It's disgraceful but it's how they're operating. Your husband has a strong case for appeal because: 1. You never received notification (violation of due process) 2. His job legitimately closed due to COVID (clear qualification for benefits) 3. The tax intercept occurred without proper notice (another procedural violation) One warning - if you can't get through by phone, start the appeal process anyway. The deadline to appeal after a tax intercept is STRICT. Don't wait until you speak with someone. Submit the appeal forms immediately and then try to get through by phone for more information. I'd also suggest contacting your state assembly member's office. They have dedicated EDD caseworkers who can often resolve these issues much faster than going through normal channels.

0 coins

Thank you for the advice! I didn't know about contacting our assembly member - is that still an option even though we moved to Nevada? Would we contact our former district's representative?

0 coins

PaulineW

•

Yes, contact the assembly member for your last California address district. They can still help with EDD issues even if you've moved out of state, as long as the claim originated in their district. Their EDD liaison can often get information and escalate cases much faster than you can through regular channels.

0 coins

Talia Klein

•

this happened to my neighbor he got a letter saying he needed to verify his identity again in 2023 for his 2020 claim but he already did the id.me thing back then!!! edd is just trying to get money back any way they can its so messed up

0 coins

After reading through all these replies, I want to emphasize a few critical points: 1. The vast majority of these retroactive disqualifications are eventually overturned on appeal if the person was legitimately eligible in the first place. 2. Documentation is absolutely crucial - gather everything now, even if you think it might not be relevant. 3. Timing matters - you must appeal within 30 days of the tax intercept (not when you discovered it). 4. Multiple approaches simultaneously: File the appeal paperwork, try calling EDD, contact your assembly member, and consider using a service to get through on the phone. 5. Request a formal overpayment waiver (Form DE 1446W) - even if the disqualification stands, you may qualify for a waiver if repayment would cause financial hardship. One last thing - if the disqualification mentioned "willful misrepresentation" or "fraud" anywhere in the determination, this is much more serious and you should consider consulting with an employment attorney who specializes in EDD cases. Many offer free initial consultations.

0 coins

This is incredibly helpful information. I'm going to start gathering all the documentation tonight and will file the appeal forms tomorrow. I don't see any mention of fraud in the online account, just "Disqualified" status for each payment period, so hopefully that's not what they're claiming. Will definitely request the overpayment waiver too - repaying $28k would absolutely cause severe hardship.

0 coins

Melissa Lin

•

I'm so sorry you're going through this nightmare - it's unfortunately becoming way too common. I went through something similar last year when EDD retroactively disqualified my entire pandemic claim after I had already filed taxes and everything. A few things that helped me that I haven't seen mentioned yet: 1. Request your complete EDD file through a Public Records Act request - this will show you EXACTLY what triggered the disqualification and any correspondence they claim to have sent you. 2. Check if there's a "Notice of Overpayment" date in your UI Online account under the "History" tab - this is crucial for calculating your appeal deadline. 3. If you had direct deposit, check your bank statements from 2020-2021 to verify the exact amounts you received - sometimes EDD's records are wrong. 4. Consider reaching out to legal aid organizations in California that specialize in unemployment cases - many offer free help with appeals. The good news is that if your husband was legitimately laid off due to COVID business closure, you have a very strong case. Most of these mass disqualifications are being overturned on appeal because EDD is using faulty automated systems to review claims. Don't let them intimidate you into giving up - you have rights here and the evidence seems to be on your side. Keep us updated on how the appeal goes!

0 coins

Jamal Brown

•

Thank you so much for these additional steps! I hadn't thought about requesting the complete EDD file through a Public Records Act request - that's brilliant and will probably show us exactly what went wrong. I'm definitely going to do that along with the appeal. It's reassuring to hear that most of these are being overturned on appeal, especially for legitimate claims like my husband's. The whole situation has been so stressful but reading everyone's advice here is giving me hope that we can fight this successfully. I'll absolutely keep everyone updated on how it goes!

0 coins

This is absolutely infuriating but you're definitely not alone - I've been seeing this exact scenario play out for dozens of people in various EDD support groups. The retroactive disqualifications without proper notice are a massive violation of due process. One thing I want to add that hasn't been mentioned yet: if you can prove you never received the notification letters (which it sounds like you can since you moved and mail forwarding expired), that alone is often enough to win an appeal regardless of the underlying reason for disqualification. Also, when you file your appeal, be very specific about the timeline - mention that you moved to Nevada in summer 2021, that you set up mail forwarding but it likely expired after one year, and that the first notice you received of ANY issue was when your tax refund was intercepted. This shows you acted in good faith and were denied proper due process. I'd also recommend checking with your husband's former employer to see if they have any documentation about the business closure being COVID-related. Even something simple like an email or letter mentioning the shutdown was due to pandemic restrictions can be powerful evidence in your appeal. The fact that he worked there for 3+ years before the pandemic and legitimately lost his job due to business closure makes this a very strong case. Don't let EDD's intimidation tactics work - fight this!

0 coins

California Unemployment AI

Expert Assistant
Secure

Powered by Claimyr AI

T
I
+
10,852 users helped today