When Did Social Security Become Taxable?
There are plenty of people out there who were extremely upset over the fact that Social Security became taxable in the 1980’s. Many people consider the Social Security system being taxed to be a system of double taxation. People were taxed to begin with in order to provide for the Social Security benefits and then people were taxed again in order to pay for other programs when it comes time for them to actually receive the Social Security benefits. A number of people out there seem to think that many people may be growing to be fed up with the Social Security system because the benefits actually are taxable.
The year Social Security benefits became taxable, the United States Congress was controlled by the Democratic Party and the White House was controlled by President Ronald Reagan. This means it was a non-partisan theory to tax Social Security benefits. There are plenty of people out there who would love to see the law that ended up allowing for the taxation of Social Security to be repealed, but this would mean that many other programs that are funded through the Social Security tax. The question is what programs would not exist if Social Security was not indeed taxable.
Attorneys out there often advocate for you to be able to receive Social Security disability benefits. These same attorneys are not likely to help you deal with the fact that Social Security is taxable. You have to be smart when trying to work out a budget if you happen to know that Social Security is indeed taxable. You need to be honest when it comes to Social Security being taxable. The fact that Social Security is taxable is something that you can discuss with a tax accountant.
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