9 States That Tax Social Security Benefits

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Image By SeanPavone From Envato Elements

#5 New Mexico

For the 2021 tax year, New Mexico has a special age-specific tax break that affects only senior residents 65 and older. If you had that age and your AGI was under $28,500 as a single and $51,000 as a married couple, you could deduct $8,000 from your income, including your benefits! However, things have changed for the 2022 tax year.

The state lawmakers passed a law in February 2022, and it was since signed into law by Gov. Michelle Lujan Grisham, that allowed for the elimination of the social security benefits tax. Thus, starting with the 2022 tax year, residents of New Mexico with AGIs of under $100,000 (single) and $150,000 (couple filed jointly) can fully deduct their benefit income!

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27 Responses

  1. It’s past time that the government unconditionally eliminates Federal Tax on seniors Social Security benefits.

    Surviving spouse should be able to retain their Social Security benefits and their deceased spouse Social Security benefits. It’s absolutely cruel that the surviving spouse loses something close to 50% of their income when a spouse dies.

    An additional 15% increase to Social Security income in addition to the COLA to make up for the shortfalls in the COLA over the past 4 decades.

  2. As it is we don’t make much please don’t tax the poor to the grave if you make a little more than social security !

  3. I was taxed when I was working and now they are taxing me again. I live in West Virginia and I am taxed double!.

  4. It would be nice if they reduced the property tax by at least 50 % when you reach 65 YO. Then NO property tax when you reach 70 YO.
    We have worked our butts off for all those years and we earned that tax break and we are being replaced on a daily basis so there is no shortage of tax dollars for the city, state to squander on useless stuff. Since the days of the three pointed hats Govts have learned they can tax anything they want when they want and we pay it.

  5. I live in a state that’s as bad as sink hole maybe worse a state this 94 year old has seen it go from a beautiful poppy growing state to a dirty old out house. Hope you young one know what I mean its a little house out back because we did not have a bathroom in doors. People that run this state that was elected I believe the only good they’re good at is when they eat their lunch. Our taxes are the highest our gas tax last I heard is 52 cents a gallon and states income tax 13 percent city tax 9 percent water bill tax it you add all the. Taxes if I spend 1 dollar I may have 20 cents for my self. If you plan to move here think twice unless you enjoy miseries.

  6. Unfortunately, we live in California they tax everything, Social Security, Permanent Didability

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