No Tax on Social Security

# Summary of HR 904: No Tax on Social Security **What the Bill Would Do** This bill would allow people receiving Social Security benefits and railroad retirement benefits to exclude that income when calculating their federal income taxes. Currently, depending on their total income, some Social Security recipients must pay federal taxes on a portion of their benefits. If passed, these benefits would no longer be taxed. The bill also includes funding to compensate the Social Security, Medicare, and Railroad Retirement trust funds for the lost tax revenue. **Who It Affects and Key Details** The bill would primarily benefit current and future Social Security recipients and railroad retirees.

It's particularly significant because Social Security is a major income source for millions of seniors and disabled Americans. By eliminating taxes on these benefits, recipients would keep more of their payments. However, the bill attempts to address the financial impact by providing alternative funding to the Social Security trust fund to prevent depletion. **Current Status** HR 904 is currently in committee, meaning it has not yet been voted on by the full House of Representatives. The bill was introduced by Representative Jefferson Van Drew, a Republican from New Jersey, in the 119th Congress.