Do EDD SDI recipients receive 1099G forms for tax filing?
My partner has been on State Disability Insurance since February 2025 due to a back injury that required surgery. We're trying to get our taxes done before the deadline, but we're confused about the tax forms. Should he have received a 1099G form from EDD for his disability payments? We got one last year for his unemployment, but nothing came in the mail for his disability benefits this year. Are SDI benefits even taxable? The tax software is asking about all income sources and I don't want to make a mistake. Has anyone dealt with this before?
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Brianna Schmidt
State Disability Insurance (SDI) benefits are NOT taxable at the federal level, so EDD doesn't issue 1099G forms for disability payments. That's why you didn't receive one. You only get 1099G forms for unemployment benefits, which ARE taxable. Your tax software is asking about all income sources, but you don't need to report the SDI benefits on your federal return.
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Andrew Pinnock
•Thank you so much for clarifying! I was getting worried because we received nothing in the mail. So I can just skip the question about additional income sources in the tax software when it comes to his disability payments?
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Alexis Renard
my wife got disability last year too and we didnt get any tax form for it. pretty sure its not taxed
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Camila Jordan
OK but wait what about STATE taxes??? Does California tax disability benefits? Because I thought I read somewhere that some states DO tax disability and now I'm freaking out that I might have been filing wrong for YEARS!!
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Brianna Schmidt
•Good question! For California state taxes, SDI benefits are also NOT taxable. So you don't need to report them on either your federal or state tax returns. You're filing correctly as long as you're not including SDI benefits as taxable income.
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Tyler Lefleur
Just FYI - there's actually a difference between STATE disability (SDI) and FEDERAL disability (SSDI). If your boyfriend is getting Social Security Disability Insurance (SSDI) from the federal government, that CAN be taxable depending on your income. But regular California SDI is never taxed.
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Andrew Pinnock
•He's definitely on California SDI, not SSDI. His doctor put him on disability after his back surgery, and he filed through the EDD website. Thanks for pointing out the difference though - that could have been confusing!
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Madeline Blaze
I had the EXACT same question last month! It caused me so much stress because I kept checking my mail waiting for a tax form that was never going to come 😂 I finally called EDD to ask about it and spent TWO HOURS on hold only to be told SDI isn't taxable. Wish I would've just checked here first!
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Max Knight
•Next time try using Claimyr if you need to reach EDD by phone. I was dealing with a weird issue on my disability claim last month and it saved me hours of hold time. Their system gets you through to a live agent way faster. Check out their demo video (https://youtu.be/1X-mEsLtbmQ?si=1hcSq3KFtCr4oAmd) or go to claimyr.com - especially useful during tax season when everyone's calling with questions!
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Emma Swift
One important thing to note is that while SDI benefits aren't taxable, if you received any SUPPLEMENTAL disability insurance payments from a private insurer or through your employer, those MAY be taxable depending on who paid the premiums. Check if your partner had any supplemental coverage through work.
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Andrew Pinnock
•That's a really good point. I'll check with him about any supplemental coverage through his job. I know his employer offers some extra benefits, but I'm not sure if he opted in or not. We'll definitely look into this. Thanks!
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Alexis Renard
btw if ur using turbotax it might still ask u to enter it but then it doesnt count it as taxable so dont worry about that part
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Madeline Blaze
I swear the tax system is DESIGNED to be confusing! Why can't they just make it simple??? Some benefits taxable, some not, different rules for federal vs state, forms for some things but not others...ARGH! 😤
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Tyler Lefleur
•The IRS website actually has a pretty decent section explaining all this stuff. But yeah, it's still confusing as heck, especially when you're getting various benefits. I just always assume I'm doing something wrong lol
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Andrew Pinnock
Thank you everyone for the helpful responses! Just to confirm what I've learned: SDI benefits are NOT taxable at either federal or state level, so no 1099G form is issued. But I should check if he had any supplemental coverage through work since those might be taxable. This is such a relief - I was worried we were missing important tax documents!
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Brianna Schmidt
•You've got it exactly right! Glad we could help clear things up. Best of luck with finishing your taxes!
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