May 08 2003

SHELBY INTRODUCES BILL TO REPEAL TAX ON SOCIAL SECURITY BENEFITS

U. S. Sen. Richard C. Shelby (R-Ala.) introduced legislation today to repeal the tax on Social Security benefits. The “Older Americans Tax Fairness Act of 2003" will immediately repeal Social Security tax provisions imposed in 1993 by President Clinton, and will phase down remaining taxes until they are completely eliminated.

Sen. Shelby said, “When seniors contributed to Social Security through the payment of payroll taxes, they did so with the understanding that they would one day receive those benefits tax-free. Unfortunately, because of runaway spending, many in the government have viewed Social Security taxation as a way to make up the shortfall between federal spending and revenue. This is fundamentally unfair, and my bill works to reverse that.”

“Because of the rising cost of living, many of our seniors are forced to work past age 65. For these Americans, every penny counts in determining whether they are able to pay for food, heating, and healthcare. If we eliminate the tax on Social Security benefits, seniors would have more disposable income to pay for these important necessities.”

“Every year my office receives hundreds of letters and calls from older Americans throughout the country and Alabama describing the hardship that Social Security taxation has placed on their lives. The solution to this situation is simple – repeal the unfair taxation of these benefits,” Sen. Shelby concluded.