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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Jeff B.
Who is in the 90%? What are the parameters governing?
Tanya N.
How does this affect Social Security Disability recipients? Which 10% of Social Security recipients are still going to be taxed on their benefits?
Donald P.
I keep seeing that there is only a 6,000 deduction for singles or 12,000 for married and not elimination of income tax on social security. The above story contradicts that.
Craig M.
Why can’t you just say what the criteria is rather than reduction for “most beneficiaries “?
David M.
ACCORDING TO MSNBC……
Why was a SS tax cut left out of Trump’s ‘big bill’?
There are several key reasons why the GOP mega reconciliation bill omits the Social Security tax repeal.
Budget Rules. First, Senate budget reconciliation rules prohibit significant changes to Social Security programs within a tax bill. One key hurdle is the “Byrd Rule,” named after the late Sen. Robert Byrd of West Virginia.
The rule generally prohibits certain provisions in reconciliation bills.
Essentially, while Congress can change various spending and revenue measures, it’s limited in its ability to alter Social Security benefits or funding.
So, the Byrd Rule makes it procedurally unfeasible to include an SS tax repeal in Trump’s “big bill.”
Patricia
This is inappropriate like everything this administration does. It should not be sending notifications with cheerleader comments about what is good for someone! Most people already don’t pay federal taxes on SSI because they DONT MAKE ENOIGH!
Cheryl W.
This press release is provocative with no usable facts.
What distinguishes the 90% who will get the tax deduction from the 10% who will not?
When does this change in tax rules take effect?
What is the link within ssa.gov that provides more information?
Norm W.
Too much confusing information regarding the reduction of taxes on SS income. Has the formula for taxing SS benefits been eliminated, altered, or modified? Is the enhanced deduction for seniors an additional perk?
How about illustrating an example of what an SS recipient might save under the new law.
Bonnie
This break sounds great! But, this is not a helpful blog post. It does not mention that this tax break will expire in 2028. So, the benefit will not last long for current retirees and may not be renewed for us future retirees. That is also important to know. Please amend your blog to include these additional facts. Thank you.
Barbara A.
This is amazing and a giant help to us older citizens. I am wondering what the conditions on the 10% are. I am thankful.