"If part of your workers' compensation reduces your social security retirement benefits received, that part is considered social security benefits and may be TAXABLE."
https://www.irs.gov/pub/irs-pdf/p525.pdf
Social Security Disability Insurance (SSDI) 또는 Supplemental Security Income (SSI)같은 급여를 받는 경우 * 해당 급여의 일부가 근로자 보상 보험 급여로 상쇄된 경우 근로자 보상 급여 worker’s compensation benefits의 일부는 과세 대상이 될 수 있으며 . . .(Federal & CA State FTB)
"Under California Labor Code Section 132a, workers’ compensation benefits may incur a tax obligation if it resulted from an act of discrimination."
workers’ compensation benefits가 TAXABLE 이 될 수 있는 여러 상황들이 있네요.