US Department of the Treasury reports

Trump Proposes No Tax on Social Security Benefits Amid $35 Trillion Debt

Jul 31, 2024, 02:43 PM

Former President Donald Trump has proposed that Social Security benefits should not be taxed. This announcement, made on Truth Social, has garnered mixed reactions. Trump argues that Social Security benefits are double-taxed, as workers pay income tax on FICA withholdings and again on the benefits. Supporters believe this move would alleviate financial pressure on seniors, while critics argue it could exacerbate the national debt, which stands at $35 trillion. Some also believe the tax exemption would disproportionately benefit wealthier seniors, leaving the poorest with minimal gains. The proposal has sparked a debate on fiscal responsibility and social equity.