SSA Faces Backlash for Email Claiming 90% of Seniors No Longer Owe Federal Taxes on Benefits

The Social Security Administration is under scrutiny after issuing an email and press release that experts say inaccurately described a new tax package, according to CNBC. Tax experts say the new $6,000 senior deduction does not eliminate federal income taxes on Social Security benefits for nearly 90% of recipients, as claimed. The deduction may reduce tax liability for some middle-income seniors, not eliminate it, experts say. Critics warn that the messaging misleads the public and masks potential harm to the Social Security program. Analysts estimate the changes could cost Social Security $30 billion annually and push the retirement trust fund’s insolvency date to late 2032. The Social Security Administration did not respond to CNBC's inquiries, and the White House directed questions back to the agency.