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Revision as of 16:36, 10 April 2025
Despite the actual tax rate reductions of the Jobs and Growth Tax Relief Reconciliation Act of 2003, the top marginal income tax bracket for many retirees is a whopping forty six.3%. Why? Because Social Security benefits are subject to income tax bill. Those affected are Social Security recipients who hold the good fortune (misfortune?) pertaining to being subject to both the 25% taxes bracket and the 85% inclusion rate for Social Security benefits.
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