Latest news with #stateside
Forbes
3 days ago
- Business
- Forbes
A Tale Of Two Retirees: New Senior Tax Deduction And Foreigners' Social Security
The One Big Beautiful Bill Act introduces a significant deduction for aging Americans. For older ... More U.S. persons living stateside or living abroad, this means the potential of zero federal income tax. For nonresident aliens who paid into the same Social Security system while they were living in America, there is a 30% withholding tax and no access to any deductions, including the new senior deduction. While a campaign promise by President Donald Trump to eliminate income taxes on Social Security benefit income was not fulfilled, seniors were granted certain relief. The landmark tax legislation, the One Big Beautiful Bill Act (H.R. 1), signed into law on July 4, 2025 introduced a temporary special deduction for taxpayers aged 65 or older. The Social Security Administration initially misstated the impact of the new senior deduction. It had incorrectly suggested that the new deduction would eliminate federal income tax on Social Security benefits for most recipients. This statement was later quietly corrected to clarify that the deduction reduces taxable income but does not exempt Social Security from taxation. The new law permits certain older taxpayers to deduct up to $6,000 per individual, or $12,000 for married couples filing jointly. This senior bonus deduction is in addition to the standard deduction, applying for tax years 2025 through 2028, regardless of whether the taxpayer itemizes deductions. The deduction gradually phases out at a rate of 6% of the amount by which Modified Adjusted Gross Income exceeds $75,000 for single filers and $150,000 for joint filers reducing by $60 for every $1,000 above those thresholds. The deduction disappears entirely once MAGI reaches $175,000 for single filers and $250,000 for joint filers U.S. Seniors Abroad: Eligible for the Senior Deduction Many American retirees choose to spend their later years abroad and the trend is gaining momentum. Last year over 700,000 U.S. citizens were receiving Social Security benefits while residing overseas. Americans receiving such benefits overseas are often still required to file U.S. tax returns if their income exceeds filing thresholds. These overseas retirees are eligible for the new senior deduction. Up to a maximum of 85% of U.S. Social Security benefits may be taxed, regardless if the recipient is a U.S. citizen/resident or foreign national who is nonresident. A special taxation formula applies to Social Security benefits for U.S. citizens and residents to determine what portion of the benefits may be taxed. The tax rate applied to this taxable portion is the individual's marginal U.S. tax rate commencing at 10% to a maximum 37%. The taxation formula depends on the U.S. taxpayer's combined income: Under the OBBBA, seniors will be eligible to claim the senior deduction commencing tax year 2026, provided they meet the age, MAGI, and filing criteria. It is important to note that the OBBBA doesn't eliminate taxes on Social Security benefits. It provides an entirely new deduction of $6,000 ($12,000 for joint filers) for taxpayers aged 65 or older by December 31 of the tax year, whether they're receiving Social Security benefits or not. This additional deduction may result in no tax liability for many seniors. Foreign Nationals Abroad: A Disparate Tax Treatment On Social Security Benefits In today's world, retirements are becoming far more global. Foreign individuals working in America may have paid into the U.S. Social Security system for decades. They may later return to their home countries and no longer have U.S. tax status, becoming nonresident aliens for U.S. income tax purposes. NRAs are subject to a withholding tax regime on items of U.S.-source income, including U.S. Social Security benefits, with the general withholding tax rate of 30% (unless the rate is reduced by a relevant tax treaty). In sharp contrast to the U.S. individual, NRAs collecting U.S. Social Security while living abroad face a much harsher tax burden under the withholding tax regime. This often comes as an unwelcome surprise for those seniors who have not anticipated the tax effects on their Social Security payments. The U.S. imposes a flat 30% withholding tax on 85% of the Social Security benefits paid to NRAs, resulting in an effective tax rate of 25.5%. Unlike U.S. citizens and residents, NRAs cannot offset this withholding by claiming deductions or lower marginal tax rates. While some tax treaties eliminate U.S. tax or reduce the withholding rate on such benefits, many countries have no such agreements with America. Social Security And The Gap in Tax Fairness Both U.S. seniors abroad and foreign nationals abroad who are NRAs often depend nearly entirely on Social Security income. Both groups contributed equally to the Social Security system. Yet only U.S. citizens or residents can reduce or eliminate their tax burden via tax deductions including the new OBBBA age-based deduction. NRAs receive no such relief. The current law draws a stark divide: one group benefits; the other does not. Taxation of Social Security: Reform Ideas for Greater Equity To bring parity, there are various possible measures that Congress could consider. One possibility might be to permit low-income NRAs to opt into U.S. tax reporting and progressive tax brackets instead of mandatory flat withholding. Another could be extending a senior or low-income deduction for foreign Social Security recipients living abroad that is similar to the senior deduction granted by the OBBBA. Final Word The One Big Beautiful Bill Act introduces a temporary (3-years, unless extended by a future Congress) yet significant deduction for aging Americans. For older U.S. persons living stateside or living abroad, this means the potential of zero federal income tax. For foreign nationals abroad, however, who paid into the same Social Security system, the current status quo for NRAs means 30% withholding and no access to any deductions, including the new senior deduction. Both U.S. and foreign nationals have contributed to the U.S. Social Security system through decades of work and payroll taxation, yet only American citizens and residents benefit from the new senior deduction. The new OBBBA provision clearly provides meaningful relief to many American seniors through the special deduction. However, it leaves untouched the longstanding 30% withholding tax imposed on NRAs receiving U.S. Social Security benefits. Since the OBBBA did not address this issue, the significant disparity in how income earned through equal payroll tax contributions continues, with taxation being based solely on citizenship or residency status. Stay on top of tax matters around the globe. Reach me at vljeker@ Visit my US tax website and blog
Android Authority
18-07-2025
- Business
- Android Authority
Samsung's top mid-ranger has finally arrived in the US after months of waiting
Paul Jones / Android Authority TL;DR After initially launching outside of the US, the Galaxy A56 5G is now available to order. The mid-ranger includes features like Circle to Search, Best Face, Auto Trim, and more. It's available on Samsung's website in Awesome Graphite or Awesome Lightgray. When Samsung launched this year's A-series phones, the US got the Galaxy A26 5G and Galaxy A36 5G. Although the Galaxy A56 5G launched outside of the US, Samsung confirmed that the mid-ranger would come to this market later in the year. After months of waiting, the A56 5G is now available in the US. The Galaxy A56 5G has finally made its debut in the US after a fairly successful stint overseas. In fact, a report from earlier this month found that sales of the A56 5G in Western Europe were up 12% compared to its predecessor in the first seven weeks after launch. Now the phone that was making waves in Europe is available to order stateside. As a refresher, the A56 5G offers a 6.7-inch Super AMOLED FHD+ display with a 120Hz refresh rate, an Exynos 1580 chip, a 5,000mAh battery, and a triple camera setup consisting of a 50MP primary camera, a 12MP ultrawide, and a 5MP macro camera. Additionally, you get 8GB of RAM and your choice of 128GB or 256GB of storage. All of this comes with the price tag of $499. Although there are four color options (Awesome Olive, Awesome Graphite, Awesome Pink, and Awesome Lightgray), only Awesome Graphite and Awesome Lightgray are available on Samsung's website. The company is also offering up to $150 off on trade-ins. For trade-ins, it is accepting older LG, Apple, Google, OnePlus, or other Samsung phones. Samsung Galaxy A56 5G Samsung Galaxy A56 5G MSRP: $499.99 The Galaxy A56 5G gives you a lot of hardware for under $500, including a 5,000mAh battery, 45W charging, and a durable Gorilla Glass Victus Plus build. See price at Amazon Save $85.09 Got a tip? Talk to us! Email our staff at Email our staff at news@ . You can stay anonymous or get credit for the info, it's your choice.
Vogue
11-07-2025
- Entertainment
- Vogue
The Look of Love (Island): Dressing for Virality, Sex, and Becoming a Bombshell
As for the islanders, the look of love is actually one of lust, too. And while Madix is wearing the reference, the contestants are buoyed by the usual suspects: Fashion Nova, Shein, Asos, H&M, et al. Consider that, while there is much conversation online about fast fashion sponsors and shared wardrobes awaiting in the Villa, these contestants are bringing many of their own clothes, bought before potential internet fame. Should the expectation be that they're all decked out in Madix-level—and priced—clothing? Simply no. Perhaps that's why you'll see self-fashioned villa main character Huda in everything from an $80 Skims slip dress to lots of separates from trendy fast fashion destination Outcast Clothing. Olandria, a current fan-favorite and arguably the best-dressed islander, is more often than not in Shein—some of the best and skimpiest it has to offer, that is. After years of working with fast fashion partners, the United Kingdom version of Love Island started partnering with eBay in 2023 in an effort to promote a more sustainable outlook on fashion. It was a compelling switcheroo considering Molly-Mae Hague, one of the show's most well-known participants, went on to become the creative director of fast fashion giant Pretty Little Thing from 2021 until 2023. Could the stateside version of the show follow suit with a similar partnership? Should it? It's, in islander terms, early days for this version of the show, but the simple answer is yes. Why not inspire its millions of viewers to shop consciously and sustainably? The more tantalizing answer—one posed by the devil's advocate—is whether or not changing the look of the show could change the show itself. In broad strokes, possibly. The look of Love Island is, in many ways, what makes us unable to look away. Skimpy, sexy, racy. Would two islanders sharing a sneaky, clandestine kiss hit the same if they were wearing, say, vintage or if they looked like the fashion influencers fighting it out over Margiela Tabis on our aforementioned For You pages? Probably not. But Love Island, as exemplified by Madix, poses an opportunity for fashion. It just begs the question: should the emperor get new clothes?
