To reauthorize the Kay Hagan Tick Act, and for other purposes.
In Committee
Introduced:Nov 12, 2025
Primary Sponsor
Christopher H. Smith
Representative
Republican
NJ-4
Cosponsors
1
Quick Stats
Policy Area
Taxation
Summary
This bill would exclude lump-sum Social Security benefit payments from being counted as income for tax purposes. This means people who receive a large, one-time Social Security payment would not have to pay taxes on that money.
Latest Action
Referred to the Subcommittee on Social Security.
AI Summary
Plain-English explanation of this bill
This bill would exclude lump-sum Social Security benefit payments from being counted as income for tax purposes. This means people who receive a large, one-time Social Security payment would not have to pay taxes on that money.
Last updated: 12/29/2025
Official Summary
Congressional Research Service summary
<p><strong>Fairness in Social Security Act of 2023</strong></p> <p>This bill excludes from modified adjusted gross income, for income tax purposes, any lump-sum social security benefit payment (i.e., a payment of more than one month of social security benefits) that is attributable to months ending before the beginning of the taxable year. It also waives any statute of limitation for credits or refunds resulting from this bill.</p>
Key Points
Main provisions of the bill
Excludes lump-sum Social Security benefit payments from being considered income for tax purposes.
Applies to payments covering multiple months of Social Security benefits.
Allows for credits or refunds related to this tax change, with no time limit.
Aims to provide financial relief to Social Security recipients who receive a large, one-time payment.
How This Impacts Americans
Potential effects on citizens and communities
This bill would financially benefit anyone who receives a lump-sum Social Security payment, by not requiring them to pay taxes on that money. This could particularly help retirees or people with disabilities who rely on Social Security as a major source of income.
Policy Areas
Primary Policy Area
Taxation
Scope & Jurisdiction
Jurisdiction Level
federal
Congressional Session
119th Congress
Citation Reference
4348, 119th Congress (2025). "To reauthorize the Kay Hagan Tick Act, and for other purposes.". Source: Voter's Right Platform. https://votersright.org/bills/118-hr-4348
