Summary — SR 122: Urging the President and Congress to exempt Social Security benefits from federal income tax
Status (as provided)
- Bill type: Senate Resolution (non‑binding)
- Introduced: February 18, 2025
- Referred to: Senate Health, Human Services and Senior Citizens Committee
- Action highlights (from provided record): Read & adopted (Feb 25, 2025); enrolled (June 8, 2025); copies directed to federal officials.
(Note: the supplied document contains materials from multiple resolutions across jurisdictions; this summary focuses on the portion that urges a federal exemption for Social Security benefits.)
Purpose and intent
- The resolution urges the President and United States Congress to enact federal legislation exempting all Social Security benefit payments from federal income taxation.
- Rationale cited: Social Security is a core retirement and disability safety net; many beneficiaries rely on it as a substantial share of income; current federal taxation reduces the real value of benefits when needed most.
Key provisions / what the resolution requests
- Calls on the President and Congress to pass federal law that would exclude Social Security benefits from being treated as taxable income for federal income tax purposes.
- Requests that the Secretary of the Senate transmit copies of the resolution to the President, the U.S. Senate Majority Leader, the U.S. House Speaker, and each member of Congress from the State (i.e., the state’s congressional delegation).
- References federal companion legislation: H.R. 9359 (The Social Security Tax Freedom Act), introduced in the U.S. House.
Contextual details cited in the resolution
- Historical context: Social Security payments began in the 1930s; taxation of benefits began in the 1980s (up to 50%) and was expanded in 1993 (up to 85% for higher incomes).
- Current thresholds (as of text): single filers with “combined gross income” between $25,000–$34,000 may pay tax on up to 50% of benefits; above $34,000 up to 85% may be taxed. These thresholds have not been indexed to inflation.
- Typical beneficiary data cited: average monthly retirement benefit ~ $1,907 (≈ $23,000/year); nearly 90% of people 65+ receive Social Security; benefits often represent ~30% of their total income.
- Notes that most states (41 states + DC, per the resolution) do not tax Social Security at the state level; New Jersey’s constitution explicitly bars state taxation of Social Security benefits.
Who would be affected
- Directly affected: Social Security beneficiaries nationwide — retirees, disabled workers and their dependents, and survivors who receive Social Security payments.
- Fiscal impact: exempting Social Security from federal income tax would reduce federal income tax revenues; the resolution does not estimate the revenue effect or propose offsetting measures. Distributional impact would generally provide greater relative relief to low‑ and moderate‑income beneficiaries for whom Social Security constitutes a larger share of income.
Legal and procedural effects
- The resolution is non‑binding on the federal government; it expresses the state Senate’s position and requests federal legislative action.
- Actual change to taxation of Social Security benefits would require passage of federal legislation and signature by the President.
Related legislation
- Cites federal bill H.R. 9359 (The Social Security Tax Freedom Act) as an example of proposed federal legislation to implement the requested exemption.
Bottom line
- SR 122 is a state senate memorial/resolution urging federal action to remove Social Security benefits from taxable federal income. It seeks to highlight perceived unfairness and financial strain on beneficiaries and to push federal lawmakers to enact the proposed exemption.
