The One Big Beautiful Bill Act, narrowly approved by the House of Representatives on May 22, includes a tax break for Americans older than 65 in the form of a temporary deduction of $4,000.
In lieu of President Donald Trump’s campaign pledge to eliminate taxes on Social Security benefits, this deduction, called the “senior bonus,” would offer a smaller tax cut, targeted to benefit lower-income seniors.
The House bill allows seniors, whether they take the standard deduction or itemize their returns, to deduct an additional $4,000 from their taxable income. It phases out for single filers earning more than $75,000, or $150,000 for taxpayers filing jointly. …