i have a medical annuity that is not subject to federal taxation, & i am retired collecting social security. my state does not have an income tax. is my annuity supposed to be included with my income when i try to figure out if i have to pay taxes on my social security? Is all my social security subject to taxation?
Assuming your "medical annuity" (structured settlement?) is indeed nontaxable, it does NOT go towards income for Social Security taxation. The thresholds for SS taxation are based on your AGI without SS, plus one-half of your SS; nontaxable, non-SS "income" is excluded from AGI.