TAXATION OF BENEFITS

What is TAXATION OF BENEFITS?

TAXATION OF BENEFITS meaning Beginning in 1994, up to 85 percent of an individual’s or a couple’s OASDI benefits is potentially subject to federal income taxation under certain circumstances. The revenue derived from taxation of benefits in excess of 50 percent, up to 85 percent, is allocated to the HI trust fund.

 

reference: Centers for Medicare & Medicaid Services

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