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The reduction in benefits that you receive as a result of having income higher than the limit for someone under full retirement age is not deductible. It's, not a loss, it's an amount not included in your reportable income in the first place. This reduction in benefits will be made up later when your benefit is re-determined at full retirement age.
Note on the 1099-SSA that the amount was already handled ... in the TT program you ONLY enter the box 5 net amount paid.
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