does the IRS tax social security and retirement payments?

Answer 1

Social security is possibly taxable based on other income you had during the tax year. Your social security can be 0% taxable, 50% taxable, or 85% taxable. And retirement payments are taxable, but if you had contributed to a non-deductible IRA then some of that would not be taxable. For retirement payments you would get a 1099-R at the end of the year indicating the gross distribution and probably the taxable distribution.

Answer 2

Maybe and Maybe.

For most people, social security is not taxed but if your other income is over a certain amount, they will tax up to 85% of it.

Distributions from a retirement plan are generally 100% taxable unless they contain some after-tax dollars.

Answer 3

Pensions that aren't a return of money you put in post-tax are taxable. Up to 85% of your social security benefits can be taxable, depending on what other income you have - if your income except for social security, plus half of your social security, is under $25,000 if you're single, $32,000 if you're married filing a joint return, then you don't pay taxes on the social security benefits.