I read the IR-2023-23 issue and it appears, from reading through the enitre notice that California's MCTR is considered a General Welfare payment (there is a link to a chart of General Welfare payments by state).  So now I wonder, since a 1099-MISC was sent to everyone getting a relief amount above $600, that it needs to be reported and then adjusted out of income via the Schedule 1, or just not report the amount as income at all.