Social Security disability benefits (SSDI) can be subject to tax, but most people do not end up paying taxes on them because they don't have much other income. About a third of Social Security disability recipients, however, do pay some taxes, because of their spouse's income or other household income.
You need to enter the SSA-1099 into TurboTax with any other income you have and TurboTax will do the calculations for you.
To enter your Social Security benefits reported
on form SSA-1099
- Click on Federal Taxes
- Click on Wages and Income
- Click on I'll choose what I work
on
- Scroll down to Retirement Plans
and Social Security
- On Social Security (SSA-1099,
RRB-1099), click the start or update button
