For the media Howard Gleckman discusses the One Big Beautiful Bill Act’s effects on Social Security benefits
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How the new legislation affects taxes on retirees’ benefits
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In an emailed announcement praising the passage of the One Big Beautiful Bill Act, the Social Security Administration says the legislation will eliminate federal income tax on Social Security benefits, but the enhanced deduction actually reduces households’ taxes based on overall income. Speaking with The New York Times, Howard Gleckman, a senior fellow for the Urban-Brookings Tax Policy Center, said, “The [Social Security Administration] statement implies there is a direct tax cut on Social Security benefits, which there is not.”

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Research and Evidence Tax and Income Supports
Expertise Taxes and the Economy
Tags Retirement Retirement policy Social Security