The New $6,000 Senior Deduction — and the Truth About “No Tax on Social Security”

A new $6,000 deduction for people 65+ is real — but “no tax on Social Security” is a myth. Here is what the deduction does and when benefits are still taxed.
Independent guides to U.S. tax credits, eligibility, income limits, filing steps, deadlines, refunds, and official IRS resources.

A new $6,000 deduction for people 65+ is real — but “no tax on Social Security” is a myth. Here is what the deduction does and when benefits are still taxed.

Federal tax credits can reduce income tax, and some can increase a refund. Distinguish tax year 2025 from tax year 2026, then verify each credit with current IRS sources.

Saver's Credit 2026: get up to $1,000 ($2,000 married) for retirement contributions. See the income limits ($40,250-$80,500) and rules.

Premium Tax Credit 2026: how the ACA subsidy lowers your premium, the 100-400% FPL income range, and how to claim it on Form 8962.

EITC 2026: the Earned Income Tax Credit is worth $664 to $8,231. See the verified amounts, income limits, and how to claim it.

Child Tax Credit 2026: up to $2,200 per child with $1,700 refundable. See income limits, who qualifies, and how to claim it.
Independent, U.S.-focused, plain-English guidance to public benefits and tax programs. Not affiliated with any government agency.