A bill to amend the Internal Revenue Code of 1986 to apply inflation adjustments to the base amount and adjusted base amount for purposes of determining taxable social security benefits.

This bill changes how federal income tax applies to Social Security benefits. Under current law, part of a person's Social Security benefits becomes taxable when their income passes certain fixed dollar thresholds, called the base amount and adjusted base amount. Starting with tax years beginning after 2026, the bill would raise these thresholds each year to account for inflation, using 2025 as the starting year for the cost-of-living measure. Any adjusted amount that is not a multiple of $100 would be rounded up to the next $100.

Full text and official record on Congress.gov

Sponsors

• John Kennedy Republican sponsor
• 0 cosponsors