Tax Season: What To Know If You Get Social Security or Supplemental Security Income
Reading Time: 4 MinutesLast Updated: November 2, 2023
It’s tax season once again. It’s important to read this blog even if your earnings or benefits don’t require you to file a federal tax return. You may be entitled to special tax credits that can mean extra cash to help you with expenses. These tax credits are available even if you receive Supplemental Security Income (SSI) and don’t normally file a tax return.
The Child Tax Credit
What is the Child Tax Credit (CTC)?
The CTC is a tax benefit, expanded in March 2021, that helps families who are raising children. You can claim the CTC for any qualifying child even if you don’t usually file a federal tax return. You can get up to $3,600 per qualifying child under age 6, and up to $3,000 for each qualifying child age 6 – 17. These ages are determined as of December 31, 2021.
Am I eligible for the CTC if I get Social Security or SSI?
Yes, if you meet the qualifying rules of the CTC. You can claim this credit from the Internal Revenue Service (IRS) based on each of your qualifying children, even if you get Social Security or SSI and don’t normally file a tax return. You also may have received up to half of your credit through advance monthly CTC payments made by the IRS from July to December 2021. For more information about advance monthly CTC payments, you can visit ChildTaxCredit.gov and the IRS 2021 CTC and Advance CTC Payments Frequently Asked Questions.
Will advance monthly CTC payments, or any CTC I claim on my tax return, reduce my Social Security or SSI benefits?
Advance monthly CTC payments, as well as any CTC that you claim on your 2021 tax return, won’t reduce your Social Security benefits.
If you receive SSI, we won’t count the CTC (or any advance monthly payments you might have received during 2021) as income or resources for 12 months after you receive it when considering your eligibility for SSI and monthly SSI payment amount. If you received any advance monthly CTC payments, be aware of when you received them. You can get that information from the IRS Child Tax Credit Update Portal.
How do I claim the CTC?
You can claim the CTC when you file your federal tax return for 2021. You can visit ChildTaxCredit.gov for options to file a federal tax return for free.
What if I have questions about the CTC?
Please visit ChildTaxCredit.gov and read IRS Filing Season 2021 CTC Questions and Answers if you have questions. Social Security can’t answer CTC questions.
The Earned Income Tax Credit
What is the Earned Income Tax Credit (EITC)?
The EITC provides low- to moderate-income workers and families a tax break. If you qualify, you can use the credit to reduce the taxes you owe – and maybe increase your refund. The EITC amount you might get generally depends on your earned income and the number of your qualifying children.
Am I eligible for the EITC if I get Social Security or SSI?
Yes, if you meet the qualifying rules of the EITC. Receiving Social Security or SSI doesn’t affect your eligibility for the EITC.
Do my Social Security Disability Insurance (SSDI) or SSI payments count as earned income for the EITC?
Learn if your disability payments count as earned income for the EITC at the IRS’ Disability and the Earned Income Tax Credit webpage.
How do I claim the EITC?
To claim the EITC, you must qualify and file a federal tax return. You can visit ChildTaxCredit.gov for options to file a federal tax return for free.
What if I have questions about the EITC?
Learn more about the EITC, including basic qualifications, at the IRS’ Earned Income Tax Credit webpage. Social Security can’t answer EITC questions.
Your Annual Social Security Benefit Statement
What is the Benefit Statement and what do I do with it?
Your Benefit Statement is a tax form from Social Security that shows the total amount of Social Security benefits you received in the previous year. It’s also referred to as an SSA-1099. Noncitizens who live outside of the United States receive the SSA-1042S instead of the SSA-1099. You should report the amount of Social Security income you received to the IRS on your federal tax return.
The Benefit Statement isn’t available for people who only receive SSI payments because SSI payments aren’t taxed.
How do I get my annual benefit statement?
If you receive Social Security benefits, we mailed your Benefit Statement to your address on file with us. If you didn’t receive it, or if lost, you can get your SSA-1099 or SSA-1042S instantly online with a my Social Security account.
Remember to Check your Earnings History
If you don’t receive Social Security benefits, this is a great time to review your earnings history by looking at your Social Security Statement (Statement). It’s important because your future Social Security benefits will be based on your earnings history we received from the IRS. Underreported earnings will mean lower monthly benefit payments when you are ready to start receiving them.
Use your Statement to review your earnings history and to see personalized benefit estimates so you can plan for your future.
Tax season doesn’t have to be a stressful time of year. And for many people, it’s an opportunity to claim additional money. Thanks to the American Rescue Plan, more Americans can claim larger Child Tax Credits and Earned Income Tax Credits for 2021.
Please share this blog with family and friends and remember that Social Security is here to help secure your today and tomorrow.
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Tags: General Information, my Social Security, my Social Security account, Social Security benefits
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Darlynda Bogle, Acting Deputy Commissioner for Communications
Darlynda Bogle, Acting Deputy Commissioner for Communications
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Peggy R.
I chose a medicare/advantage which is $0 premium. But my SS benefit now is less than I received after the COLA. What might have happened?
vince s.
You’re now paying for Part B. It’s a little secret that they made you think all of your life that Medicare is going to be for free. It’s NOT. The ONLY thing you paid for with your contributions was for Part A. This means that only your hospital costs are covered. If you want insurance to see doctors, you’ll need Part B as well. And Part B is NOT free. You’ll have to pay for it. For 2022, it’s about $ 170 per month.
Also good to know: Part A (hospital) is pretty much only for your stay at the hospital. The doctors at the hospital are NOT covered by Part A. So please, please: make SURE you KEEP Part B as well. Very important!
A.C.
Hi, Peggy. Thanks for visiting our blog. For your security, we do not have access to private information in this venue. We ask that members in our Blog community work with our offices with specific questions. You can call us at 1-800-772-1213, Monday through Friday, between 8:00 a.m. and 7:00 p.m., for assistance. You can also contact your local Social Security office. We hope this helps.
Rosalinda G.
hello I need to find out how to get a copy of 1099 form for my mother who passed away 10/01/2021 I was told I need to file taxes for her. I am unable to get a hold of someone by phone do I need to schedule appointment. My mothers name is Maria G Cordero dob 02/28/1945.
A.C.
Hi, Rosalinda. We are sorry to hear about your loss. We are sorry to hear about your loss. The SSA-1099 is mailed to the last address in our records and is intended for the spouse or executor of the deceased. If you did not receive the benefit statement, you will need to contact your local Social Security office with proof of death and proof of executorship. Please be aware our call volume is higher than normal. An SSA-1099 can also be given to someone receiving benefits on the deceased beneficiary’s record such as a spouse, parent, or child of the deceased. If you need more information, call our toll-free number at 1-800-772-1213 (TTY 1-800-325-0778) and ask a representative for assistance. Just a reminder – please be cautious about posting personal information on social media. We hope this helps.
Glenda R.
What if my daughter is over 21 and permanently disabled?
A.C.
Hi, Glenda. For tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.
Nancy M.
Ya know what’s really stupid? REQUIRING an income on the tax forms and/or EITC qualification forms when you didn’t have any income before you can go to the next question! If you only have SS coming in (that is the second question), you’re not allowed to go further because you didn’t have an income and didn’t fill an income out. DUH!?!
Jack B.
If I only receive Social Security Benefits will I need to file?
I own my condo with mortgage payments and 2021 sold my parents home. I split the money (3) ways with son and nephew.
What am I to do?
A.C.
Hi, Jack. Thanks for visiting our blog. You must pay taxes on your benefits if you file a federal tax return as an “individual” and your “combined income” exceeds $25,000. If you file a joint return, you must pay taxes if you and your spouse have “combined income” of more than $32,000. If you are married and file a separate return, you probably will have to pay taxes on your benefits. For more information, visit our Benefits Planner. For tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this information is helpful.
Iva P.
My son receives survivor’s benefits as my husband/his dad was murdered last year. Because my son is 17 years old, I was advised by social security rep who help me set this up that my son, being 17, is old enough to manage this on his own and needed his own account so his funds can be direct deposited into this account and basically I’ve had zero access to these funds. I mean zero. The rep that set this up also advised me I have no rights to these funds. I’m still supporting my son financially because that’s what mom’s do and that doesn’t bother me. My question: Will he, as a minor, and receiving his own funds need to file taxes on his survivor’s benefits?
A.C.
Hi, Iva. Your son must pay taxes on his benefits if he files a federal tax return as an “individual” and his “combined income” exceeds $25,000. For more information, visit our Benefits Planner. For tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this information is helpful.
bruce c.
How do I enroll in humana
Margaret A.
I received my SS benefits letter dated 11/24/2021. It provided the amount Medicare amount that would be taken out of my SS payments in 2022. That amount is usually based on the income from the previous year, which was 2021. However, they based the payment amount on my income from 2019, when I was working as an independent contractor. I had resigned as a contractor on Wed. 11/27/2019. Therefore, SS should not have used the 2019 contractor income to figure my Medicare payments for 2022. It’s impossible to get a SS person on the phone, and I realize SS has been very short staffed because of COVID, but I would really like to have this rectified.
Rick
There is a social security form SSA-44 that you can mail (to your local SS office). The form allows you to estimate what you expect your income for this year and they will reduce you medicare deduction based on what you project. There is a range of incomes for each level of medicare deduction so you don’t have to be precise in your estimation. You will need to send them a copy of your federal tax return next year to allow them to validate your estimate.
A.C.
Hi, Margaret. If your income has gone down and the change makes a difference in the income level we consider, you can use Form SSA-44, Medicare Income Related Monthly Adjustment Amount-Life Changing Event , to report a major life-changing event and to request a reduction in your income-related monthly adjustment amount. You can submit the completed form and any supporting documents to your local Social Security office. For more information, please visit Premiums: Rules for Higher-Income Beneficiaries. We hope this helps.
Luisa
I started receiving social security benefits this year. I live in Spain, dual nationality . No taxes have been withheld from my payments. Do I have to pay taxes on SS in the US or do I pay in Spain. I file tax returns in both countries.
Thanks
A.C.
Hi, Luisa. For tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.
Ben S.
I received a 1099R for my Social Security retirement benefits but the form DOES NOT HAVE A PAYER ID NUMBER, therefore, I’m unable to file my taxes. Can you PLEASE PROVIDE SSA’s Payer Identification Number?
A.C.
Hi, Ben. Thanks for visiting our blog. For tax questions, you will need to contact the IRS. Their toll-free number is 1-800-829-1040 or you can visit their website. We hope this helps.