Yes, CA SDI payments may be deducted from PFL but only if you have not taken the amount of SDI payments used to reduce your taxable PFL income as an itemized deduction. i.e. you can't use it as a deduction twice.
So, in theory, you could (somehow) add up all CA SDI amounts withheld over the years then subtract from that total all SDI amounts used as an itemized deduction over the years, and the net result is the total SDI not used as a deduction yet. That net amount may be used to offset PFL taxable income on your federal return.
