A bill to amend the Internal Revenue Code of 1986 to apply inflation...
A bill to amend the Internal Revenue Code of 1986 to apply inflation adjustments to the base amount and adjusted base amount for purposes of determining taxable social security benefits.
This bill, SB5084, proposes to update the Internal Revenue Code to ensure that the base and adjusted base amounts used to determine taxable Social Security benefits are adjusted for inflation. This means that the thresholds for how much of your Social Security income is taxable would change in line with inflation, potentially impacting how much tax you owe on your benefits.
The bill would affect Social Security recipients who need to pay taxes on their benefits. By adjusting these thresholds, the bill aims to prevent taxpayers from being unfairly taxed on a larger portion of their Social Security income due to inflation. This change could help many retirees and low-income individuals who rely on Social Security.
SB5084 was introduced on July 22, 2026, and referred to the Committee on Finance the same day. No further actions have been recorded. It is currently under review in the Senate Committee on Finance.
