Will tax returns affect my CalWORKs Cash Aid and CalFresh in April SAR7 report?

Good news - tax refunds don't count as income for CalWORKs or CalFresh! The Earned Income Credit (EIC) specifically is exempt as income AND as a resource for 12 months after you receive it. The rest of your refund is also exempt as income, but for CalWORKs it would count as a resource (asset) in the month after you receive it if you still have it. But as long as your total resources stay under the $10,211 limit (for a family of 3), you're fine. You should still report receiving it on your SAR7 for transparency, but write "TAX REFUND" clearly next to it so your worker knows what it is. Just make sure you're reporting it in the correct section - it's not counted as income.

My sister got her benefits cut last year cause she didn't report her tax refund and they said she was hiding income. But then she appealed it and got them back. I think it depends on your county maybe?

The EIC doesnt count as income and dosent count as an asset for 12 months after you get it. The rest of the refund is not income, but its a resource the next month. Honestly your probably fine, i never reported my refunds and nothing ever happened lol

I had EXACTLY this situation last year. My caseworker tried to count my whole tax refund as income and cut my CalFresh by $280!! I kept calling their number but couldn't get through for DAYS. I was about to give up when I tried this service called Claimyr that got me through to a person in like 10 minutes. Cost a little but totally worth it - I explained to the supervisor that tax refunds aren't counted as income and they fixed it right away. Here's their website if you need it: claimyr.com - they have a video showing how it works: https://youtu.be/jzISHxCPLwE

U need to be careful tho, if u spend the money fast it doesn't matter but if u save it and go over ur resource limit then they CAN cut u off. For a family of 3 i think the limit is around $10,000 so unless ur sitting on other savings ur probably ok. But def report it on the SAR7 just to be safe!!!

tax refunds DO efect CalFresh now!!! my cousin got CUT OFF because of her refund. they said it put her over income!!! the rules changed again in 2025!!!

Thanks everyone for all the advice! I just got off the phone with my worker (after 3 tries) and she confirmed tax refunds don't count as income. She said I should still write it on my SAR7 in the "money from other sources" section but clearly label it as "TAX REFUND - EIC PORTION: $1,210" so they code it correctly in their system. She also said I should keep my bank statements showing when I received it in case there's any confusion later. Such a relief!

That's great news that you got through to your worker and got clarification! Just to add one more tip - since you mentioned keeping bank statements, also keep a copy of your actual tax return showing the EIC breakdown. Sometimes workers change and the new one might not understand the coding, so having that documentation can save you headaches later. The fact that your worker told you exactly how to label it on the SAR7 is awesome - sounds like you got one of the good ones who actually knows the rules!

I'm so glad you got this sorted out! Your experience really highlights how important it is to get the right information directly from your worker. For anyone else reading this thread who might be in a similar situation, here are the key takeaways: 1. Tax refunds (including EIC) are NOT counted as income for CalWORKs or CalFresh 2. EIC specifically doesn't count as a resource for 12 months after receiving it 3. Always report tax refunds on your SAR7 for transparency, but label them clearly as "TAX REFUND" 4. Keep documentation (bank statements + actual tax return) in case of future questions 5. The resource limit for a family of 3 is $10,211 It's frustrating how confusing the system can be, but threads like this really help other families navigate these situations. Thanks for sharing your resolution - it'll definitely help someone else who's panicking about the same thing!

As someone who just went through my first SAR7 process last month, I can totally relate to the panic about reporting things correctly! The advice here is spot-on - I also had a tax refund (smaller than yours, but still nerve-wracking) and my worker told me the same thing about labeling it clearly. One thing that helped me was calling the day before my SAR7 was due to double-check I filled it out right. Even though it took forever to get through, having that confirmation gave me so much peace of mind. The system is really confusing for newcomers, but this community has been a lifesaver for understanding the rules. Glad you got it sorted out!