Alabama SSD Taxable Attorney
Depending on the financial circumstances of the applicant, their Social Security Disability benefits may be taxable. For one thing, this depends on whether the applicant has additional sources of income. For another, if the applicant’s spouse has an income at or beyond a certain level, the benefits may be taxable as well. In order to determine whether your disability benefits are taxable or not, you may want to consult with a knowledgeable and reputable law firm such as Wettermark & Keith. They offer a free case review to disability applicants. Cases are taken on a consignment fee basis, which means that you do not pay anything until after we win your case.
SSD Taxable Income – Individually and Jointly Filed
To determine whether your benefits are taxable, look at your income. If you filed individually and your total income – disability benefits and other forms of income – ranges between $25,000 and $34,000, you may be taxed on up to 50% of your SSD benefits. If your income exceeds $34,000, you may be required to pay taxes on up to 85% of your disability benefits. If you filed jointly with your spouse and your combined income ranges between $32,000 and $44,000, you may be taxed on up to 50% of your disability benefits. If the income exceeds $44,000, you may be taxed on up to 85% of your benefits.
How to Withhold Federal Taxes From Your Social Security Benefits
You have the right to voluntarily request that taxes be withheld from your benefits; some people find the structure to be helpful and desirable. You can start this process by completing IRS Form W-4V. On the form indicate the percentage of the benefit that you wish to be withheld. You may choose from 7, 10, 15 or 25%.
Alabama Does Not Impose a State Tax on Social Security Benefits
Although Alabama does impose a state tax on personal income, Social Security benefits are exempt from taxation.
To Obtain a Complimentary Case Review, Contact the Alabama Law Firm of Wettermark & Keith
If you are applying for Social Security Disability benefits or if you are appealing your case, or if you have any other legal matters pertaining to Social Security, it is extremely valuable to obtain representation from qualified, experienced attorneys. Wettermark & Keith have represented thousands of individuals with their Social Security needs. There are no legal fees unless your case is successfully resolved. To schedule your complimentary case review, call (205) 933-9500.