This bill changes how much of Social Security benefits can be excluded from taxable income. It replaces several dollar amounts used in Internal Revenue Code section 86(c) with higher amounts: $25,000 becomes $50,000; $32,000 becomes $64,000; $34,000 becomes $59,000; and $44,000 becomes $76,000. It also adds a rule to increase those dollar amounts each year for inflation using the tax code cost-of-living method (with a 2025 base year) and rounds each increase to the nearest $100.
If you get Social Security and file federal taxes, the amounts used to figure how much of your Social Security is taxable would be larger under this bill. That means some people who currently pay tax on part of their benefits could have less of their benefits counted as taxable income. The new dollar amounts apply to tax years beginning after December 31, 2025. The inflation adjustments begin for tax years beginning after December 31, 2026.
No publicly available information.
The bill text and title show the sponsor intends to increase the exclusion from gross income for Social Security benefits by raising the dollar thresholds and adding annual inflation adjustments. The metadata lists Representative Nicole Malliotakis as the sponsor.
No publicly available information.