Social Security Applauds Passage of Legislation Providing Historic Tax Relief for Seniors
Reading Time: 1 MinuteLast Updated: July 7, 2025
The Social Security Administration (SSA) is celebrating the passage of the One Big, Beautiful Bill, a landmark piece of legislation that delivers long-awaited tax relief to millions of older Americans.
The bill ensures that nearly 90% of Social Security beneficiaries will no longer pay federal income taxes on their benefits, providing meaningful and immediate relief to seniors who have spent a lifetime contributing to our nation’s economy.
“This is a historic step forward for America’s seniors,” said Social Security Commissioner Frank Bisignano. “For nearly 90 years, Social Security has been a cornerstone of economic security for older Americans. By significantly reducing the tax burden on benefits, this legislation reaffirms President Trump’s promise to protect Social Security and helps ensure that seniors can better enjoy the retirement they’ve earned.”
The new law includes a provision that eliminates federal income taxes on Social Security benefits for most beneficiaries, providing relief to individuals and couples. It does so by providing an enhanced deduction for taxpayers aged 65 and older, ensuring that retirees can keep more of what they earned.
Social Security remains committed to providing timely, accurate information to the public and will continue working closely with federal partners to ensure beneficiaries understand how this legislation may affect them.
For more information about Social Security programs and benefits, visit www.ssa.gov.
Correction Notice: This blog was updated on July 7, 2025. The second sentence of the fourth paragraph originally read, “Additionally, it provides an enhanced deduction for taxpayers aged 65 and older, ensuring that retirees can keep more of what they have earned.”
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Allen
Before the passage of this 2025 Tax Act 64% of Seniors didn’t pay income tax on Social Security benfits. Now, until 2028, the number will go up to 88%. In 2028, when Trump leaves office, this increased deduction will expire. Don’t hurt your shoulder patting yourself in the back.
S B.
The bill will benefit most low-moderate income seniors but your announcement is incorrect. Some will save $3000 or more in taxes. But very few will see their social security benefit become totally tax free.
Gregory A.
While this will reduce revenue they can easily offset this by cutting the obscene bloat within SSA. This is the right thing to do.
Robert
Taking food and healthcare from the poor is sinful.
A social security tax benefit is a scam to make older
People to ingnore the rich getting 80% of the benefits
Deborah G.
When does no tax on SSI go into affect?
Debbie
What a bunch of bullsh*t propaganda!
Tony
How will the passage of this new bill affect those receiving SSDI?
Marilyn M.
I think this is very misleading. The provision is only for a few years. I don’t feel an additional deduction is the same as “no tax” on benefits.
Ash
What about SSDI, will disability income be taxed in 2026?
M
Social Security should have never been taxed, and a federal law should be passed preventing any government or state from taxing social security!