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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Johan o.
Is the property tax deductible for retiree in Washington state residents
A.C.
Hi, Johan. 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. For state tax questions, you will need to contact your local State Tax Commission or Department of Revenue. We hope this helps.
Anthony J.
I am filing my taxes and supposed to attach all 1099R forms to the tax documents. However, I cannot find this form from the Social Security Administration website. The form that I have is the SSA-1099-SM which is not to be returned to the IRS.
Please inform me on how I can obtain the appropriate 1099R form from the SSA so that I can complete my tax filing.
Thank you in advance.
Jessie
U most call n request the form
A.C.
Hi, Anthony. Form-1099R is used to report distributions from a retirement pension such as a 401K or an IRA. You will need to reach out to your retirement plan or financial institution. Thanks.
A.C.
Hi, Anthony. Form-1099R is used to report distributions from a retirement pension such as a 401K or an IRA. You will need to reach out to your retirement plan or financial institution. Thanks.
Claudia B.
My tax preparer sais I should have tax deducted from my Social Security payments. How do I inform Social Security to deduct for taxes
A.C.
Hi, Claudia. Thanks for your question. In order to have taxes withheld from your Social Security benefit, you must start by printing, completing and submitting an IRS Voluntary Withholding Request Form (Form W-4V). On this form, you can choose to have 7, 10, 12, or 22 percent of your monthly benefit withheld. The Form W-4V (to withhold federal taxes from your Social Security benefits) can be returned to your local Social Security office by mail. See our Benefits Planner: Withholding Income Tax From Your Social Security Benefits web page for more information. We hope this helps.
Deric A.
Hello. My father passed away in 2020, I am his executor and was trying to see if his estate was due any SS benefits. How do I go about that process?
A.C.
Hi, Deric. We are sorry to hear about your loss. Certain eligible family members may be able to receive monthly survivor benefits. For more information on this, please read our publication, How Social Security Can Help You When a Family Member Dies. We hope this helps.
Jose
M 68 yrs old..m in SSA..i would like to know if i can get a tax credit allowance ..
Stephen D.
I’m on ssi and ant flie in 10 years will I get anything back it’s just one me
A.C.
Hi, Stephen. 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. Thanks.
A.C.
Hi, Jose. Learn more about the EITC, including basic qualifications, at the IRS’ Earned Income Tax Credit webpage. Social Security can’t answer EITC questions. Thanks!
Sonia. M.
I applied. For a appeal. A month ago. How long does it take for a answer
Janice
You have to get a lawyer for that ok
.
Vita P.
I am applying for disability Social Security disability in Houston Texas and I have been working on it for a whole year and about a week or two ago they denied me and I had a lawyers up in Utah . And now they just put in a a appeal they said to take 5 to 9 months
Vita P.
In 2019 I was working Bentub hospital for 4 years same week and in the same week that George Floyd died in Minnesota I woke up to that in in ICU cuz my lungs has shut down and I have all kind of breathing problems and mental issue and they denied me
A.C.
Hi, Sonia. There are four levels in the appeals process. A reconsideration is the first level. Typically, the length of time it takes to receive a decision on your reconsideration is about 60 days but the amount of time could vary from case-to-case. We reevaluate all evidence, plus any additional evidence submitted and make a new decision. If you disagree with the reconsidered decision, you can choose to go to the next level of the appeals process. If you have questions about your reconsideration, please call our toll-free number at 1-800-772-1213 (TTY 1-800-325-0778) and ask to speak with one of our representatives. Representatives are available Monday through Friday between 8:00 a.m. and 7:00 p.m. We hope this helps.
Audrey J.
My husband and I bought acerage about 3, in 2002, we sold it in 2020 my husband died 12/6/21, we paid taxes for all them years, demolished and hauled away debris from two houses and a barn , bush hogged, mowed with the lawn mower when fesible, the money from the sale of said land in 2020 was put in a savings account. what do I have to do as far as IRS is concered?
A.C.
Hi, Audrey. 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.
Lynn S.
Cannot sign into my account. Lockup. Would like to view my updated Social Security Benefit Statement. Eligible, as Marriage Certificate and Divorce degree were mailed and approved.
Changing from Disability Benefits.
Also would like to change my phone number.
Social Security Number: ***-**-****
Name: Lynn S. Burmeister
Phone: 2317303117
Add:2319038513 [prinary]
Login: burmeisterlynn70@gmail.com
Password:*****
A.C.
Hi, Lynn. If you are still unable to access your account or encounter a problem with your personal my Social Security account, please call us at 1-800-772-1213 (TTY 1-800-325-0778), Monday through Friday from 8:00 a.m. to 7:00 p.m. At the voice prompt, say “help desk.” Just a reminder – please be cautious about posting personal information on social media. We hope this helps.
john D.
If I make some money on the side through eBay buying and selling
But have no job and collect disability. when i get my taxes done to show the income that I did earn. Do I pay disability tax during tax prep or what should I Do?
A.C.
Hi, John. 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.
Karen E.
I earn some money from a home business where I have deductions against those earnings. I know I can only make $19k but is the income I earn considered at net or gross earnings towards that figure since I’m self employed?
A.C.
Hi, Karen. Thanks for your question. If you’re self-employed, we count only your net earnings from self-employment. For more information, please check out our publication, How Work Affects Your Benefits. We hope this helps.