This deduction would likely benefit people who earn modest incomes. The lowest-earning seniors already pay no federal income taxes, so they wouldn’t benefit. The highest earners make too much to qualify.

According to the SSA, recipients will pay federal income taxes on their benefits if their combined income (50% of their benefit amount plus any other earned income) exceeds $25,000/year filing individually or $32,000/year filing jointly. Instead of no tax on social security, the bill includes other tax relief for seniors.

A new tax and spending bill, dubbed the 'One Big Beautiful Bill,' proposes a temporary $4,000 deduction for seniors, diverging from Trump's promise to eliminate Social Security taxes.