California Middle-Class Tax Refund is not taxable on 2022 tax returns
The IRS has determined that it will not challenge the taxability of payments related to the general welfare and disaster relief. Thus, taxpayers in many states do not need to report the “Middle-Class Tax Refund” or other state tax payments on their 2022 tax returns.
It applies to California, Colorado, Connecticut, Delaware, Florida, Hawaii, Idaho, Illinois, Indiana, Maine, New Jersey, New Mexico, New York, Oregon, Pennsylvania, and Rhode Island. See the details here – https://www.irs.gov/newsroom/irs-issues-guidance-on-state-tax-payments-to-help-taxpayers