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
See CommentsAbout the Author
Darlynda Bogle, Acting Deputy Commissioner for Communications
Darlynda Bogle, Acting Deputy Commissioner for Communications
Comments
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Sheila A.
So, after waiting on hold for over 45 minutes on two separate occasions I’ll try this option.
My income tax preparer is telling me 7% needs to be withheld from Social Security for Federal Income Tax.
I can’t find on the SS website where I can set up tax withholdings.
How do I do that?
Marlene
Go online to get form W-4V. You mail it in to your local SS Office or drop it off in person. Google it or go on line with the IRS/ Do not send it to IRS, but direct to Social Security.
A.C.
Hi, Sheila. We are sorry to hear about your experience. 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.
Scarlet S.
My Dad passed away on 1/14/2021 – will he receive a Form SSA-1099?
A.C.
Hi, Scarlet. 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. 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. We hope this helps.
ADRIAN L.
if you made $22,254 on SS and have 2 1099’s
for a total of $135.00 do I need to file??
A.C.
Hi, Adrian. 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.
elizabeth b.
my mother passed away 2/22/2022. I am the personal representative for her estate, so I need to get a copy of her social security statement. please let me know where I can speak with a person to collect that document, so I can file her 2021 taxes. thank you
A.C.
Hi, Elizabeth. 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. 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. We hope this helps.
Allie
Can your tax credits be garnished from child support if you’re on SSI.
A.C.
Hi, Allie. Thanks for visiting our blog. For questions regarding garnishment from a possible tax credit, 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.
Maureen C.
I was receiving spousal retirement benefit but it stopped because I am now eligible for my government pension. I immediately applied for benefits under my own work record. Approximately how long will it take before I start receiving a SS check again?
A.C.
Hi, Maureen. 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.
Vernon l.
My ssi was taken away as soon as I was told to retire my problem is now I believe the IRS IS DEDUCTING MONEY FROM MY SOCIAL SECURITY CHECK SSA SAYS THEY SENT FULL AMOUNT MY BANK SAY THEY DEPOSITED WHAT WAS SENT THE LESSER AMOUNT NEITHER THE SSA OR MY BANK CAN TELL ME WHO OR WHY my check. Is being deducted 200.00 per check
Deb K.
Could it be Medicare? Your medicare premium is automatically deducted out of your SS payment.
A.C.
Hi, Vernon. We are sorry to hear that. 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 concerns. 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.
B.L.R.
I’m a homebound disabled Sr who was forced by my state agency employer to retire early at 62. That left me unemployable, battling 23 diseases (including 3 rare ones), living on less than 12k a year and having to survive on food stamps. To complicate matters, due to a disease, I must eat gluten-free, which costs 2 to 3 times as much as regular food. FYI: the Federal (Dept of Agriculture’s) SNAP program doesn’t award more food stamps to people that must eat a more expensive and medically-necessary diet.
Question: Why is it that if/when in any year, we poverty level recipients get a cost of living raise from SSA, the state of NV’s welfare division takes away that same exact amount from my food stamp allotment? In essence that means I/we never get ahead and the C.O.L.A. is actually worth NOTHING.
Does the head of SSA even realize that’s what happens to those of us who are already the poor, sick and elderly?
How can this “The Fed Government giveth and the State Government taketh away” situation be explained or rectified?
Please share this info upward to the people with power to make changes. Thank you.
Jesse J.
So my benefits were in the 900.00 dollar a month for a few months then one day I got my payment and it was half of that amount!! They said there is supposedly a income they don’t know where it’s coming from as my other source of income. And I 100 percent have not received any 600 dollar payment. Well the nice customer service representative put me on hold and came back and said it was not my fault that they made a mistake and would fix it. But so far nothing…..so what do I do I can’t live off of 250.00!!! Thanks .
A.C.
Hi, Jessie. We are sorry to hear that. For your security, we do not have access to private information in this venue. Please continue to work with your local Social Security office. You can ask to speak to a supervisor on your next call. We hope this is resolved soon.
Mary T.
The IRS wants me to insert the payers TIN number on my income tax return. I cannot locate this number anywhere.
Deborah B.
I couldn’t find mine either, so I ended up having to file a paper return. I didn’t need that code last year when I filed online.
Eli B.
its your social security number I think
A.C.
Hi, Mary. 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.