Ask Larry

Why Can't We Deduct SS Payroll Deductions From Our Yearly Income Taxes?

1) I am trying to understand why we can't deduct SS payroll deductions from our yearly income taxes. Or at least our half of the 15.3%. Since this is clearly a "tax" and even stated as such on the SS website! It should be deductible! Otherwise they are double taxing me! Paying income tax on my SS tax each and every year.
2) And therefore, shouldn't it also be subtracted from your annual income estimate when calculating your withholding amounts?
3) Is the 85% of your SS benefits being subject to taxation (based on additional income), because they recognize this as a tax (mine and the company I worked for) at the 15.3% rate? Seems coincidental! Seems hypocritical to me.
Richard

Hi Richard. I'm sorry but my expertise is limited to Social Security benefits, so I'm unable to answer questions about income taxes. If you disagree with any laws related to Social Security or the IRS, I would suggest contacting your congressional representatives since they are the only people authorized to change federal law.

Best, Jerry

Category: 
Posted: 
Jul 3 2021 - 8:24pm
MaxiFi software running on a laptop
Get What's Yours!
Discover tens of thousands in extra retirement dollars with Maximize My Social Security software!
  • Find your maximized strategy
  • Unlimited what-ifs
  • Step-by-Step filing instructions
  • Our software's lifetime-benefit increase for an illustrative couple earning $65K each and planning to take retirement benefits at 62.

    Results will differ based on your specific case and filing strategy.

Getting Started is Easy
Web-based software. Works on ALL browsers. No download.