Social Security SSA Form 1099

[Mainecat]

I have a lot of  clients who collected social security and the full amount went to pay medicare, that still have not received their 2021 social security statement.  Many of these clients when calling Social Security to inquire about their 2021 SSA Form 1099, are being told that they don't need the statement since it all went to pay their Medicare premiums.  Is there a new rule that I am unaware that makes their social security not taxable of or are they giving wrong advice? 

[sjrcpa]

I read this on another board today.

I think SSA is wrong. I don't know of any new rule.

Everyone else whose SS benefits are more than their Medicare premiums is getting a 1099 with the gross SS on it. That's the number we use to calculate how much is taxable.

[BobKamman]

New law enacted by Congress geezers.  SSA has to answer IRS questions and IRS has to answer SSA questions.  They're hoping it cuts down on the error rate.

The SSA amount is income that has to be reported and may be taxable, 1% to 85%, or tax-free.  The Medicare Part B and D premiums are deductible as medical expenses, subject to the 7.5% floor.  Or, as self-employed health insurance.  You can spend half a day getting to someone who knows the law, or you can make a reasonable estimate of the amounts based on other correspondence your client probably has received from SSA.  

[qbteachmt]

They can get their Medicare statements, if they pay more than the floor. Or, if they pay the standard amount, just do that math.