Talk of The Villages Florida
Page 2 of 2 1 2
Show 40 post(s) from this thread on one page

Talk of The Villages Florida (https://www.talkofthevillages.com/forums/)
-   Investment Talk (https://www.talkofthevillages.com/forums/investment-talk-158/)
-   -   Tax-free IRA distributions and RMD’s? (https://www.talkofthevillages.com/forums/investment-talk-158/tax-free-ira-distributions-rmds-359857/)

Romad 07-09-2025 08:31 AM
Quote:
Originally Posted by ton80 (Post 2443969)
SS Income is NOT Tax Free. There is only a temporary tax deduction of 12 K$ for couples. The deduction expires in 2028. That is where you messed up. The criteria of AGI less than 150k is for the deduction only.
The reason the deduction is temporary is because of Congressional Budget Office scoring. It will be made permanent before they expire.

The deduction is based on Modified Adjusted Gross Income (MAGI), not Adjusted Gross Income. The phaseout for a married couple begins at $150,000 and is fully phased out at $250,000. The phase out is not adjusted for inflation.

CoachKandSportsguy 07-09-2025 08:52 AM
Quote:
Originally Posted by Romad (Post 2444359)
The reason the deduction is temporary is because of Congressional Budget Office scoring. It will be made permanent before they expire.

The deduction is based on Modified Adjusted Gross Income (MAGI), not Adjusted Gross Income. The phaseout for a married couple begins at $150,000 and is fully phased out at $250,000. The phase out is not adjusted for inflation.
so its tax free until it isn't,
both in time and income level

where have i read that before?

Pat2015 07-09-2025 10:00 AM
Quote:
Originally Posted by ton80 (Post 2444351)
I am not sure what you are referring to.

The current law ( BBB Tax Law) now is: The maximum tax relief is the extra 12K deduction if the couple's AGI is less than 150K.

The rest, 48K in the OP's example, is part of his AGI and will be taxed. There is no change required in 2028.
The current bill expires in 2028, just like the tax cuts from 2017 were going to expire unless it was made into law. If there’s a change where you lose the $6000 break for taxes on your SS, Seniors will be furious.


All times are GMT -5. The time now is 08:12 PM.
Page 2 of 2 1 2
Show 40 post(s) from this thread on one page

Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2025, vBulletin Solutions Inc.
Search Engine Optimisation provided by DragonByte SEO v2.0.32 (Pro) - vBulletin Mods & Addons Copyright © 2025 DragonByte Technologies Ltd.