New $6,000 Tax Break for 65+ Could Lift Refunds for Millions through 2028

AARP says the new $6,000 deduction for Americans 65+ could boost refunds by about $670 on average in 2025, with some in the 22% tax bracket saving up to $1,320. The deduction, added to an existing $2,000 senior deduction, provides $6,000 per qualifying individual ($12,000 for couples) and phases out above $75,000 single or $175,000 married, while still applying whether you itemize or take the standard deduction. It lowers taxable income (not Social Security benefits directly) and runs through 2028, with eligibility requiring age 65 by end of 2025 and a work-authorized Social Security number. The IRS begins accepting tax filings on Jan. 26.