The Social Security Administration reportedly sent out an email claiming the policy bill “eliminates federal income taxes on Social Security benefits for most beneficiaries”—but that’s not true.
Key Facts
The SSA sent a mass email to Social Security recipients celebrating the passage of the spending bill, according to The and various social media reports, which included a press release that claims the bill “eliminates federal income taxes on Social Security benefits for most beneficiaries.”
Trump also repeated claims Thursday evening that the bill eliminates taxes on Social Security—a campaign promise he made before the election—saying at a rally in Iowa that the bill delivered “no tax on Social Security for our great seniors.”
The claims echo a campaign promise of Trump’s that would be hard to actually enact, since changes to Social Security benefits must get 60 votes in the Senate.
In actuality, the bill does not make any direct changes to taxing of Social Security benefits, as senators are not allowed to make changes to Social Security through the reconciliation process, which was used to pass the spending bill and allows budget-focused policies to pass with only a simple majority of votes.
The bill does provide an enhanced tax credit for senior citizens ages 65 and older, which provides a maximum tax credit of $6,000 through 2028 that’s calculated based on the taxpayer’s income.
Though the group affected by that tax credit significantly overlaps with Americans who receive Social Security benefits, the tax credit is not tied to Social Security, and will not affect any Social Security recipients younger than age 65, such as people with disabilities.
The White House and Social Security Administration have not yet responded to requests for comment.What To Watch For
Trump is expected to sign the spending bill into law at 5 p.m. EDT Friday, after the House approved the final version of the bill on Thursday.How Does The Senior Tax Credit In Trump’s Bill Work?
The tax credit in Trump’s policy bill applies specifically to taxpayers who turned 65 during that tax year or are older, and who have a Social Security number.
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USA — Financial Trump Claims Bill ‘Eliminates’ Taxes On Social Security — Here’s Why That’s...