Do I need to report tax refund money on my CalWORKs SAR7?

Tax refunds (including EITC) are EXEMPT and do not count as income for CalWORKs! You DO need to report receiving it on your SAR7 in the section where it asks about money/property received, but make sure to write "TAX REFUND" next to it. Your worker should know it's exempt, but sometimes they make mistakes. Keep a copy of your SAR7 showing you reported it correctly in case there's any confusion later.

my worker told me last year that we dont have to report tax refunds cuz its not income its just your own money they took out of your check all year. but i still wrote it down on my SAR7 just to be safe lol

YES YOU ABSOLUTELY NEED TO REPORT IT!!! But don't panic - it won't count against your CalWORKs grant. I didn't report mine 2 years ago because someone told me I didn't have to, and they hit me with an overpayment for "failure to report" even though the money itself was exempt!!! The county is LOOKING for reasons to cut people off. Always report EVERYTHING on your SAR7 even if it doesn't count as income. They can discontinue you just for not reporting, even if the money wouldn't have affected your eligibility!!!

To clarify what everyone's saying: tax refunds are exempt as income AND as a resource for CalWORKs for 12 months after you receive it. This means: 1. You DO need to report receiving it on your SAR7 2. It will NOT count against your income limit/IRT 3. It will NOT count against your $10,211 resource limit for 12 months Be sure to write "TAX REFUND" clearly on your SAR7. If you get a Notice of Action reducing your benefits after reporting it, immediately call your worker to point out their error and request a hearing if necessary.

wait is EITC part of the tax refund thats exempt? i thought that was different cuz its extra money not just what u paid in taxes??

I spent 3 days trying to reach someone at my county office last month to ask this EXACT question. Kept getting disconnected or stuck on hold forever. Finally I tried using Claimyr.com to get through - they got me connected to a real person in about 10 mins. The worker confirmed tax refunds don't count as income but DO need to be reported. Their video demo (https://youtu.be/jzISHxCPLwE) shows how it works if you need to call about this or other issues. Totally worth it when you need answers quickly.

Reading through this reminded me of my SAR7 nightmare last year. I reported everything correctly, including my tax refund marked as "TAX REFUND," but they still cut my benefits claiming I was over income. Had to get a fair hearing to fix it because my worker combined my tax refund with my regular income even though it's exempt! Make sure you keep ALL documentation - your tax return, bank statements showing the deposit, and a copy of your SAR7. Be prepared to advocate for yourself if they make a mistake.

Thanks everyone for the helpful answers! I'm going to report the tax refund on my SAR7 but clearly mark it as TAX REFUND. I'll also keep a copy of everything just in case. It's a relief to know it won't count against my Cash Aid eligibility. This system is so complicated sometimes!

This thread has been so helpful! I'm new to CalWORKs and just received my first tax refund since being on benefits. I was panicking because I didn't know the rules. Reading everyone's experiences makes me feel more confident about reporting it correctly. One question though - if I got my refund deposited into the same bank account where my CalWORKs benefits go, will that make it easier for them to verify when I report it on my SAR7? Or does it not matter which account it went into?

Just wanted to add my experience for anyone still worried about this - I've been on CalWORKs for 3 years and have reported my tax refund every year on my SAR7. Each time I write "TAX REFUND - EXEMPT" in the other income section and I've never had any issues. My benefits stayed exactly the same. The key is being clear about what it is so your worker doesn't accidentally count it. Also, if you're using tax prep software like TurboTax or H&R Block, they usually give you a summary sheet that shows exactly how much was your refund versus credits like EITC - keep that paperwork too in case they ask for it later. Don't stress too much, just report it clearly and you'll be fine!

I've been on CalWORKs for about 8 months now and this is my first tax season since starting benefits. Reading through everyone's responses has been incredibly helpful! I was definitely overthinking this - I kept going back and forth on whether to report my $2,800 refund or not. Now I understand I need to report it but it won't hurt my eligibility. Quick question for anyone who knows - when you write "TAX REFUND" on the SAR7, do you put the gross refund amount or just the federal portion? I got refunds from both federal and state taxes. Should I list them separately or combine them into one entry? Thanks again everyone for making this so much clearer than the official paperwork does!