IRS Introduces New $6,000 Tax Deduction for Seniors
- Author: Alicia Cole
- Posted: 2026-01-21
The IRS has announced a new tax deduction that could help Americans aged 65 and older keep more money in their pockets. This new deduction, worth up to $6,000, could boost tax refunds for millions of seniors.
How Much Can Seniors Save?
On average, older taxpayers could get about $670 more back on their tax returns.
Seniors who are in the 22% tax bracket, which means their annual income is between about $44,000 and $75,000, could see savings as high as $1,320 per person.
Who Qualifies for This Deduction?
- You must be at least 65 years old.
- The deduction is not available if you are married and filing separately.
- Your modified adjusted gross income (MAGI) must be under certain limits:
- The deduction starts to phase out if your MAGI is above $75,000.
- If you are single and your income is over $175,000, you cannot claim this deduction.
- For married couples, the deduction is reduced starting at $150,000 of MAGI and disappears entirely at $250,000.
The most a person can deduct is $6,000.
2025 Standard Deduction Amounts
For the 2025 tax year, the standard deductions are as follows:
- Single filers: $15,750
- Married, filing jointly: $31,500
- Married, filing separately: $15,750
- Head of household: $23,625
If you are over 65, you can add the new $6,000 deduction:
- Single seniors: Can deduct up to $23,750.
- Married seniors filing jointly: Can deduct up to $46,700.
What Does This Mean for You?
If you are 65 or older, you could see a bigger tax refund or owe less in taxes thanks to this new deduction—if you meet the income and filing requirements.
This new rule is designed to provide extra financial help to seniors across the country.
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