5 CiTiZENSam 1 LEAGUE ns J Social Security Tax (NAPS)—Millions of seniors may soon benefit from legislation, recently introduced in the House, which would repeal a 1993 law that subjects up to 85 percent of Social Security benefits to tax. Middle-income seniors may get a tax break thanksto recently proposedlegislation. “Uncle Sam does not allow seniors to figure their income like other taxpayers,” says George A. Smith, Chairman of The Senior Citizens League. “This legislation would provide greater tax fairness for increasing numbers of middleincomeseniors.” Under current law, up to 50 percent of Social Security benefits may be taxable for individuals with annual provisional incomes between $25,000 and $34,000, and couples with annual provisional incomes between $32,000 and $44,000. Up to 85 percent of benefits are taxable for individuals or couples who bring in more. “Making matters worse, these income levels are fixed and do not rise annually like personal exemp- tions or tax brackets,” says Smith. “This means that as incomes and Social Security benefits gradually rise, increasing numbersof seniors must pay tax on their benefits.” The new legislation would roll the upper tax bracket back to the 50 percentlevel. For more information, send $1 for shipping and handling to TREA Senior Citizens League, Dept. N10102, 909 N. Washington St., Suite 300, Alexandria, VA 22314 or visit www.tscl.org.
