If you do not include all of the W-2s that you receive in your tax return, you will most likely receive a letter from the IRS that will let you know that you forgot a W-2 and they will require the payment of tax (or repayment of your refund) penalties, and interest.
There are a couple ways to enter a W2 for IHSS wages.
1. Enter the W2 as normal wages on line 7.
Then make an entry on 1040 line 21 Other Income to offiset it.
2. Or when you enter the W2 it gives you the EIC credit for it (which would be wrong) see this FAQ
<a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/2635384-qualified-medicaid-waiver-payments-on-a-w-2-show-as-earned...>
So you either completely exclude the W2 from your return or enter it under Miscellaneous Income. To enter it as Misc Income use the same steps as above and you will make 2 entries.