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In addition, a portion of your Social Security benefits are included in gross income, regardless of your filing status, in any year the sum of half your Social Security plus all other income, including tax-exempt interest, exceeds $25,000 or $32,000 if you are married.
However, if their income is between $32,000 and $44,000 ($25,000-$34,000 for single filers), up to 50 percent of Social Security benefits may be subject to ordinary income taxes. If their income exceeds $44,000 ($34,000 for singles), up to 85 percent of benefits may be taxed.heir combined income for purposes of computing the taxability of Social Security benefits (the tax-exempt interest is still nontaxable) was $42,500 plus $18,000 (half of their Social Security benefits) for a total of $60,500, putting them well over the $44,000 limit. You can see how easily it adds up.