Omaha City Wire

Rep. Don Bacon (R-NE-02) has introduced H.R. 9465, the Seniors in the Workforce Tax Relief Act. This bill aims to amend the Internal Revenue Code of 1986 to establish an above-the-line tax deduction for seniors.

H.R. 9465 proposes a temporary five-year deduction for seniors amounting to $25,000 annually. The allowable deduction phases out between $100,000 and $125,000 in income, with phaseout amounts doubled for joint returns or when both filers are over age 65.

The deduction will take effect starting with income received in the 2024 taxable year and will include income from sources such as 401(k)s and other taxable annuity payments, not just wages.

“The Biden Administration's tax policies are unmanageable with inflation at its highest levels in years," said Rep. Bacon. "This tax bill will provide some real relief to our seniors and their families who are struggling to make ends meet as a result of the Biden Administration’s damaging economic policies.”

This legislation is part of Rep. Bacon's broader plan to address current economic challenges, which also includes H.R. 7870, the Tip Tax Termination Act, and H.R. 8194, the Second Job Tax Relief Act of 2024. The Tip Tax Termination Act, introduced on April 5, 2024, seeks to exempt from taxable income the first $20,000 in earned tips. The Second Job Tax Relief Act of 2024, introduced on May 1, 2024, aims to exclude some compensation earned from a second job from income and payroll taxes.

All three bills can be viewed here:

H.R. 9465: Senior in the Workforce Tax Relief Act

H.R. 7870: Tip Tax Termination Act

H.R. 8194: Second Job Tax Relief Act of 2024

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