This is the Tom Hartman program.

Welcome back.

Remember when Donald Trump was running for president and he was saying,

we're going to do away with the tax on Social Security?

And we were all going, yeah, you know, it's probably a good idea.

Ronald Reagan put it on there in the first place.

Now, the Social Security tax does, or the tax on Social Security income does partly help Social Security fund payments to people.

So if you just did away with the tax, you would actually be hurting Social Security, which is probably why Trump didn't actually do it.

Trump did not do away with the tax on Social Security income. He changed the tax law. He gave a tax break to people. And he's claiming that that was for people over 65. In fact, Social Security Administration sent out a mailer to everybody on Social Security saying, look at what we did for you. And you don't longer have to pay taxes on social security. It's not true. You know, if you have any kind of, you know, substantial income at all,

you're still paying taxes on Social Security. So if we do away with it, as this proposed legislation,

this was Ruben Gaijo in Arizona and Angie Craig in Minnesota.

Ruben Gaigo did the Senate version and Craig did the House version of this new piece of legislation.

This was dropped yesterday. It's called the You Earned It, You Keep It Act.

And in order to pay for it, what they do is they say anybody making over a quarter million

dollars a year has to pay Social Security taxes on that income over a quarter million dollars a

year, which is going to be a substantial amount of money for some people, although most of the

really rich people don't make their money as income.

They don't pay FICA taxes on their income.

They make it as capital gains where they only pay 20 percent, and it's not subject to FICA.

It's not subject to Social Security withholding.

Meanwhile, a new report is out from the group Americans for Tax Fairness

and another group, community catalyst.

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