Can social security tax be deducted from earned income to caculate adjusted gross income?

Answer 1

If you are self employed and file schedule C, 1/2 of your social security tax will be deducted from your gross income as an adjustment to income on page 1 of form 1040. The government allows so that self employed people will be taxed in a similar way to people who work an employer. (The employer paid half of an employee's social security tax is not subject to income tax.)

Answer 2

If a portion of your social security income it taxable, that part is included in your adjusted gross income. If none of it is taxable, it isn't. Just follow the lines on the 1040.

If you're talking about social security taxes that you pay, then no, those aren't deductible in any way.

Answer 3

Not on your federal return. Whether social security tax is a deduction on your state tax return depends on the state you live in.

The federal government allows you to deduct certain state and local taxes (such as state income taxes and state and local property taxes) as itemized deductions on Schedule A, meaning that if you itemize deductions those taxes will reduce your adjusted gross income on Line 31. The federal government generally does not allow individuals to deduct federal taxes on their federal income tax return. The social security tax is a federal tax and is not deductible on Schedule A or anywhere else on your federal return.

Answer 4

Consult a Professional and seek thier advice for the tax rules,