Older Americans gain access to a new tax deduction worth up to $6,000 for individuals and $12,000 for married couples under legislation President Donald Trump signed in July 2025.
The provision, known as the “senior bonus deduction,” was included in broader 2025 tax legislation passed by the Republican-controlled Congress. The benefit targets taxpayers age 65 and older who file their taxes in the coming year.
How the Deduction Works
The senior bonus deduction offers flexibility for eligible taxpayers, according to tax experts cited in recent analyses. Those who claim the standard deduction can use the bonus deduction in addition to the extra standard deduction available to older Americans.
Taxpayers who itemize deductions also qualify for the benefit. “This bonus allows taxpayers age 65 and older to claim an additional deduction – up to $6,000 for singles, or $12,000 for married couples when both spouses qualify,” according to tax guidance.
The deduction can be claimed regardless of whether a taxpayer itemizes or takes the standard deduction, meaning it provides an additional opportunity to reduce taxable income for most seniors.
Temporary Nature of the Benefit
The senior bonus deduction expires after the 2028 tax season unless Congress votes to renew it. This means the provision will apply to tax filings for only four years under current law.
Trump signed the legislation, formally called the “Big, Beautiful Bill,” on July 4, 2025. The White House highlighted other tax provisions in the package, including eliminations of taxes on tips, overtime pay, and Social Security benefits.
Broader Tax Legislation Impact
The legislation continued tax policies from Trump’s first term. The White House noted that nearly 70% of taxpayers who received cuts under the package earned less than $100,000 annually.
The measure also included deductions for car loans on vehicles made in America. Democrats opposed the legislation during the congressional vote, though the tax cuts applied to the majority of American taxpayers.
This story has been updated. CNN’s tax and fiscal policy team contributed to this report.