(a) Except as provided in subdivision (b), the employer shall not withhold pursuant to a withholding order for taxes from earnings of the employee payable for any pay period of such employee that ends prior to the 10th day after service of the order.
§ 706.078.Jeopardy Withholding Order For Taxes
Title 9. Enforcement of Judgments · Division 2 · Chapter 5. Wage Garnishment · Article 4. Earnings Withholding Order for Taxes · Enacted 1982 · no amendments on record · Last verified July 28, 2026
In one sentenceSection 706.078 generally bars withholding under a withholding order for taxes from earnings payable for any pay period ending less than ten days after service, unless the state issues a jeopardy withholding order for taxes on a finding that delay would jeopardize collection, and requires withholding to continue until paid in full or withdrawn.
Full Text of § 706.078
(b) A "jeopardy withholding order for taxes," which shall be denoted as such on its face, is a withholding order for taxes that requires that the employer withhold pursuant to the order from earnings due to the employee at the time of service of the order on the employer and from earnings thereafter due. A jeopardy withholding order for taxes may be issued only where the state has determined that the collection of a state tax liability will be jeopardized in whole or in part by delaying the time when withholding from earnings commences.
(c) An employer shall continue to withhold pursuant to a withholding order for taxes until the amount specified in the order has been paid in full or the order is withdrawn, except that the order automatically terminates one year after the employment of the employee by the employer terminates. The state shall promptly serve on the employer a notice terminating the withholding order for taxes if the state tax liability for which the withholding order for taxes was issued is satisfied before the employer has withheld the full amount specified in the order, and the employer shall discontinue withholding in compliance with such notice.
Plain-English Summary
Ordinary tax withholding orders give the employee's paycheck a short buffer. Under subdivision (a), an employer generally can't withhold under a withholding order for taxes from earnings payable for any pay period that ends before the tenth day after service.
Subdivision (b) removes that buffer for a "jeopardy withholding order for taxes" — a specially labeled order the state can issue only when it has determined that collecting the tax liability would be jeopardized by waiting out the normal delay. That order reaches earnings already due at the time of service as well as earnings due afterward.
Once withholding begins, subdivision (c) keeps it running until the full amount specified in the order is paid or the order is withdrawn, with automatic termination one year after the employee's employment with that employer ends. If the tax liability is satisfied before the full amount is withheld, the state must promptly serve a termination notice and the employer must stop withholding accordingly.
Frequently Asked Questions
How soon after service can an employer start withholding under a tax withholding order?
Not from earnings payable for any pay period ending before the tenth day after service, unless the order is a jeopardy withholding order for taxes.
What is a "jeopardy withholding order for taxes"?
A specially labeled order the state can issue when it has determined that collecting the tax liability would be jeopardized by waiting for the normal ten-day delay, letting withholding start immediately.
When does withholding under a tax order stop?
Once the full amount specified is paid or the order is withdrawn, or automatically one year after the employee's employment with that employer ends.
Amendment History
Added by Stats. 1982, Ch. 1364, Sec. 2. Operative July 1, 1983, by Sec. 3 of Ch. 1364.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 28, 2026.
· Official source
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