ACL 11-13: CalWORKs And CalFresh Changes In The Treatment Of Federal Tax Credits And Refunds In The CalWORKs And CalFresh Programs (2/2/11)

Instruction to CWDs regarding changes in the way federal tax credits and refunds will be treated in the CalWORKs and CalFresh Programs, as a result of passage of H.R. 4853, the Tax Relief Bill. Regulations currently require that income tax refunds be treated as non-recurring lump sum payments and counted as resources in the month received. Effective December 17, 2010, counties must exempt all federal income tax credit and refund payments from resource consideration for CalWORKs and CalFresh applicants and recipients for 12 calendar months starting with the month of receipt of the payment. (It’s already exempted as income). CWDs must also exempt all EITC and Making Work Pay Credit payments as income and resources for 12 calendar months, regardless of whether the HH had been participating in the CalFresh or Food Stamp Programs at the time of receipt. [Download]