I am doing the taxes for my 85-year old widowed neighbor. She has a pension, Social Security, and income from a mutual fund. The only major difference between 2020 and 2021 was that she received about $15,000 more in capital gains from the mutual fund in 2021. However, the percentage of her taxable Social Security went from 18.4% in 2020 to 84.8% in 2021 and her total income increased by about $16,000. How do I explain this to her because, of course, her taxes went up significantly? Thank you for your help.
