Does the One Big Beautiful Bill say no tax on Social Security Benefits? Where do I see that on my 2025 Tax Return?

[mesquitebean]

No, the OBBBA does not say "no tax on Social Security."  Instead, there is an extra deduction for Seniors to partially offset having to pay tax on Social Security.  It does not eliminate the tax on Social Security.

For seniors age 65 and older and who meet the other qualifications for the new Enhanced Senior Deduction, TurboTax automatically fills out Schedule 1-A in the background and then enters the amount of the deduction on the Form 1040, Line 13b.  It is not part of the standard deduction--it is a completely separate deduction on its own line.   If you are "married filing jointly" and both qualify, then you both get the new deduction.  If you are "married filing separately", however, you are not eligible.   Single filers, HOH filers, and qualifying surviving spouse, if they otherwise qualify, are eligible.

You appear to be using Online TurboTax--at least that is what a tag shows underneath your question above.  If you are still preparing your online return, and want to verify that you received that new senior deduction, here's how you can preview the Form 1040 and confirm you are getting the enhanced senior deduction.   If you already printed out a copy of your return, you can view the Form 1040, Line 13b and Schedule 1-A where it was calculated.  If still preparing your return, here's how to preview it:

• With your return open go to the left column menu, and click on TAX TOOLS, then subtab TOOLS.
• In the Tools window choose "View Tax Summary."
• On that Tax Summary screen you should see that you are getting "Additional Deductions (Schedule 1-A)."
• Then, while still on that Tax Summary screen,  you can further verify it by going over to the left column menu and under Federal clicking on "Preview my 1040."  That opens up the Form 1040 Worksheet.   
• Scroll down to Line 13b, and the figure there includes the enhanced senior deduction from the Schedule 1-A.
• And while you are there, you should see your standard (or itemized) deduction on Line 12e.

[VolvoGirl]

Nothing about Social Security has changed. It can still be taxable.  There is a new Enhanced Senior Deduction if you are 65 or older.

It is automatic based on your age. It is not part of your Standard Deduction. The new Senior Deduction is separate and in addition to the Standard Deduction or your Itemized Deductions on 1040 line 12e. The 6,000/12,000 senior deduction will be calculated on 1040 Schedule 1-A page 2 Part V Enhanced Deduction for Seniors which goes to 1040 line 13b with any other sch 1-A amounts. Turbo Tax automatically includes it if you qualify.

For Single the deduction starts to phase out at 75,000 and maxes out at 175,000
For Joint the deductions starts to phase out at 150,000 and maxes out at 250,000
If you are married you have to file a Joint return
And your SSN must be VALID for employment. Do NOT check the box saying Not Valid under My Info.


For Online version You can preview the 1040 or print the whole return
https://ttlc.intuit.com/community/accessing/help/how-do-i-preview-my-turbotax-online-return-before-f...

What do you have on 1040 or 1040SR line 13b?

See the 1040 ….

[mesquitebean]

@ onthewater wrote:  "Does the One Big Beautiful Bill say no tax on Social Security Benefits?"

President Trump wanted "no tax on Social Security" included in his OBBBA as relief for Seniors, but one party voted against that as well as the other items in the OBBBA.  So the OBBBA had to be passed through a process called budget reconciliation. That budget reconciliation process specifically prohibits any changes to Social Security (part of the Byrd Rule). So instead, a lesser workaround was to lessen the pain a bit with a "senior bonus" called the "Enhanced Senior Deduction". It does not equate to full Social Security tax refief for many people, but it does help lower the overall tax burden of seniors and got around the Byrd Rule. It provides some extra spending money, especially for married couples. Hopefully, additional tax relief for Social Security can be in future legislation.