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BREAKING:
Democratic lawmakers in the House support a bill to eliminate federal taxation on Social Security benefits and extend the program's solvency by 20 years. Rep. Angie Craig, D-Minn., reintroduced the You Earned It, You Keep It Act with six co-sponsors: Reps. Yadira Caraveo, D-Colo.; Ro Khanna, D-Calif.; Don Davis, D-N.C.; Mary Peltola, D-Alaska; Andrea Salinas, D-Ore.; and Hillary Scholten, D-Mich.
The bill, originally introduced in August 2022, would repeal the taxation of Social Security benefits starting in 2025 and raise the income tax cap. Currently, individuals with income over $168,600 do not get taxed for Social Security on earnings above that amount.
The bill would change this by applying Social Security taxes to all earnings above $250,000.