Rep. Posey Introduces Bill to Cut Social Security Taxes, Safeguard Benefits

U.S. Rep. Bill Posey, R-Rockledge, wants to put a real lockbox on Social Security benefits and help seniors keep more of what's theirs.

Introducing the Senior Citizens Income Security Act of 2010, Posey said he seeks to "restore some of the original promises that were made years ago through Social Security."

His House Resolution 5725:

• Repeals the 1993 tax increase on Social Security benefits so that no seniors are double taxed on their earned Social Security benefits.
• Eliminates the requirement that seniors begin mandatory withdrawals from IRAs at age 70 1/2.Lets give retirement accounts a chance to recover from the market downturn, Posey said.
• Eliminates Social Security payroll taxes for recipients who continue to work through their retirement to help make ends meet and allows seniors to continue receiving their earned benefits if they choose not to enroll in Medicare Part A.
• Creates a new $250 exemption to eliminate burdensome tax paperwork when seniors receive smaller amounts of income from savings accounts, dividends or capital gains.

Jim Martin, president of the 60 Plus Association, praised Poseys bill.

It will make a tremendous difference in the financial situation of millions of Americas seniors by providing them financial relief during one of the most negative and threatening economic environments since the Great Depression," Martin said.

Posey's office said the congressman, who introduced his bill late Tuesday, would be "reaching out" to AARP for support, as well.