Deductions & credits

It's on line 13b of the 1040 tax return.  It may be included with other credits from ‌Schedule 1A

Social Security is still being taxed as it was in the past; however, there's a new $6,000 deduction for individuals older than 65 years old.  Also, a $12,000 deduction would apply to couples who qualify.  

The full taxable amount that is included in your taxable income is on line 15 of Form 1040.

• You will only see the base Standard or Itemized deduction on ‌line 12e.
• However, the Senior Deduction is reflected on line 13b of Form 1040.
•  It is reflected on Schedule 1A, Part V, Line 37

There's a new $6,000 deduction for individuals older than 65 years old.  Also, a $12,000 deduction would apply to couples who qualify.  

• This deduction is for qualified individuals.
  • Age: You must be 65 or older by the end of the tax year (e.g., born before Jan 2, 1961, for 2025 returns).
  • Income Limits: Your Modified Adjusted Gross Income (MAGI) must be below certain thresholds (e.g., $75k single, $150k Married Filing Jointly for 2025), with deductions phasing out above those levels.
  • Benefit: Up to $6,000 (single) or $12,000 (joint) Additional standard deduction to reduce taxable income. 
• Deduction phases out for taxpayers with modified adjusted gross income over $75,000 ($150,000 for joint filers).

 For more information, see Deductions for Seniors.

If you and your spouse are both 65 or over, everything is evaluated for both of you.

• The phase-out begins at $75,000 (single) or $150,000 (married filing jointly). 
• If you (as a couple) had an income under $150,000 there is no phase-out for either of you.
• If your income is above $150,000, it will affect both of you.
• The deduction begins to phase out above these limits, fully disappearing at $175,000 for singles and $250,000 for couples.