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Best Answer: Social Security benefits are normally considered judgment proof. Which means they can not be garnished (taken) You can still sue them but if the person who owes you money only receives income from social security then you can not collect from them. The lawsuit will remain on record however and if social security benefits stop and/or there is another source of income.
Report Abuse. It depends on what you mean by disability payment. If it is social security disability, you'll have to check with them. If it is an insurance claim, it depends on the source of coverage. If it is an individual policy owned and paid for by you, claims are not taxable income.eport Abuse. It depends on what you mean by disability payment. If it is social security disability, you'll have to check with them. If it is an insurance claim, it depends on the source of coverage. If it is an individual policy owned and paid for by you, claims are not taxable income.