1. 4470 POINTS
    Brandon RobertsPRO
    Owner, The Insurance Pro Blog,
    Generally no.  Benefits received from California's Employment Development Department are not taxable provided they are paid solely as disability benefits. 

    In some instances, California's EDD will provide payment from the program in lieu of unemployment benefits; when this happens the benefits received will be taxable.  If this takes place, the department will provide the benefit recipient with appropriate tax forms to use when filing his or her income taxes.
    Answered on August 23, 2013
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