It depends, based on the way it was reported to you.
If you receive a W-2 for a third party sick pay, with no amount in box 1 for wages and the income is reported in box 12 with code of J: Non-taxable sick pay is not subject to taxation. It does not need to be reported on your income taxes. Your employer was required to generate a W2 with the figure, which is why you received it. So basically you do not need to file this return, per IRS.
If you and your employer share the cost of a disability plan, you are only liable for taxes on the amount received due to payments made by your employer.
- Report your W2 using these steps- Federal Taxes > Wages and Income >Wages and Salaries
See the following TurboTax article for additional information: Are Short Term Disability Claim Payments ... - TurboTax - Intuit
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