Which Tax Forms You Need When You Receive SSDI

The Form You File Depends on Whether Your SSDI Is Taxable

Most people who receive SSDI do not file a tax form about it at all. But if you have other income — wages, self-employment earnings, interest, or dividends — some or all of your SSDI may become taxable, and you will need to report it on your federal tax return using Form 1040 (the standard individual income tax return) along with Form SSA-1099, which Social Security sends you each January.

The decision of whether to file and which form to use hinges on a calculation called combined income. This is not the same as your total income. Combined income is half your SSDI plus all your other income (wages, self-employment, interest, dividends, rental income, and certain other sources). If that number exceeds a threshold set by the IRS — $25,000 for a single filer, $32,000 for married filing jointly — you must report your SSDI on your tax return, even if you owe no tax.

If your combined income is below the threshold and you have no other reason to file (such as self-employment income over $400), you do not file a federal return at all, and you do not need to report your SSDI anywhere.

Key Takeaways

Form 1040 is the tax return you file if your SSDI is taxable; Form SSA-1099 is the statement Social Security mails you showing how much SSDI you received.
Your SSDI becomes taxable only if your combined income (half your SSDI plus all other income) exceeds $25,000 single or $32,000 married filing jointly.
Social Security mails Form SSA-1099 by January 31 each year; you attach it to your Form 1040 when you file.
If your combined income is below the threshold and you have no self-employment income, you do not file a federal tax return and do not report your SSDI.
State tax rules differ from federal rules; some states tax SSDI even when the federal government does not, so check your state's requirements separately.

Form SSA-1099: What Social Security Sends You

Form SSA-1099 is a statement from Social Security, not a tax form you file. It shows the total amount of SSDI you received in the previous calendar year. Social Security mails it to your address on file by January 31 each year. If you moved during the year, the form may arrive late or go to an old address, so contact Social Security if you do not receive it by early February.

The form lists your SSDI in Box 5. You do not send this form to the IRS; instead, you keep it with your tax records and use the number from Box 5 when you fill out Form 1040. If you file electronically, your tax software will ask you to enter this amount, and the software will calculate whether any of it is taxable based on your other income.

If you did not receive Form SSA-1099 by mid-February, call Social Security at 1-800-772-1213 and ask them to mail a replacement or provide the amount over the phone. You need this number to file accurately, even if you ultimately owe no tax.

Form 1040: Where You Report Taxable SSDI

Form 1040 is the federal individual income tax return. If your combined income exceeds the threshold, you file this form and report your SSDI on Line 5b (labeled "Social Security benefits"). You will also report any other income you received — wages on Line 1, self-employment income on Line 3, interest and dividends on Lines 2a and 2b, and so on.

The IRS worksheet (included in the Form 1040 instructions) walks you through the calculation of how much of your SSDI is taxable. The worksheet accounts for your filing status, your other income, and the threshold for your situation. Depending on the result, anywhere from 0% to 85% of your SSDI may be taxable. Most people use tax software (TurboTax, H&R Block, FreeTaxUSA, or the IRS Free File program) to do this calculation automatically.

You file Form 1040 by April 15 of the year following the year you received the SSDI. If you cannot file by then, you can request an extension, but the extension only delays filing — not payment of any tax owed.

When You Must File Even If You Owe No Tax

The IRS requires you to file Form 1040 if your combined income exceeds the threshold, regardless of whether the calculation shows that any of your SSDI is actually taxable. This is a reporting requirement, not a payment requirement. You may owe zero dollars in tax but still be required to file the return.

The reason is that the IRS uses tax returns to verify income and cross-check it against other records. Filing when you are required to do so, even with zero tax owed, keeps your record clear and prevents the IRS from sending you a notice later asking why you did not file.

If you are unsure whether your combined income exceeds the threshold, calculate it: take half your SSDI (from Form SSA-1099, Box 5), add all your other income, and compare the total to $25,000 (single) or $32,000 (married filing jointly). If the total is higher, file Form 1040.

State Tax Returns and SSDI

Federal tax rules and state tax rules are separate. Some states do not tax SSDI at all, even if the federal government does. Other states tax SSDI under different rules than the federal government uses. A few states tax SSDI the same way the IRS does.

Check your state's tax authority website or call their helpline to learn whether you must file a state return and whether your SSDI is taxable under state law. States that do not tax SSDI include Illinois, Mississippi, and Pennsylvania. States that do tax SSDI include Colorado, Connecticut, Kansas, Minnesota, Missouri, Montana, Nebraska, New Mexico, Rhode Island, Utah, and Vermont. Many other states have partial exemptions or special rules.

If you must file a state return, you will use the same Form SSA-1099 and the same income figures you used for your federal return, but you will follow your state's worksheet to calculate what portion of your SSDI is taxable under state law. Some states provide their own forms; others use the federal calculation.

What Happens If You Do Not File When Required

If your combined income exceeds the threshold and you do not file Form 1040, the IRS may send you a notice asking why. This notice does not automatically mean you owe a penalty, but it does require you to respond. The safest course is to file when you are required to, even if you believe you owe no tax.

If you filed late, you can still file now. The IRS generally does not penalize late filing if you owe no tax, but filing removes any question about whether you complied with the law. If you owe tax and filed late, you may owe a failure-to-file penalty in addition to the tax itself, though the IRS can waive the penalty if you have reasonable cause.

If you are unsure whether you filed correctly in a prior year, you can file an amended return using Form 1040-X for any year within the last three years. This corrects errors and ensures your record is accurate going forward.

Free and Low-Cost Tax Filing Resources

If you cannot afford to pay a tax preparer, the IRS offers free filing through the IRS Free File program. You can access it at IRS.gov; it includes several tax software brands that are free to use if your income is below a certain threshold (usually around $60,000 to $70,000, depending on the software). Many of these programs handle SSDI correctly and will calculate the taxable portion for you.

If your income is above the Free File threshold, you can still use free or low-cost options through VITA (Volunteer Income Tax information) sites, which are run by nonprofits and community organizations in most counties. Call 211 or visit the IRS website to find a VITA site near you. VITA volunteers are trained to handle SSDI and will file your return at no cost.

Frequently Asked Questions

Do I need Form SSA-1099 if my SSDI is not taxable?

You do not need to report it to the IRS, but you should keep Form SSA-1099 for your records. If you file Form 1040 for other reasons (self-employment income, for example), you will report the amount from Box 5 even if none of it is taxable, because the IRS wants to see all income sources on the return.

What if I lost my Form SSA-1099?

Call Social Security at 1-800-772-1213 and ask for a replacement. They can mail it or provide the amount over the phone. You can also create a my Social Security account online and view your SSDI payment history, which shows the annual total. Keep a copy of that for your records.

Can I file Form 1040-EZ instead of Form 1040?

Form 1040-EZ no longer exists; the IRS discontinued it after 2017. You must use Form 1040 (the current version) or Form 1040-SR if you are 65 or older. Both forms handle SSDI the same way.

If I owe tax on my SSDI, can I pay in installments?

Yes. If you cannot pay the full amount by April 15, you can set up a payment plan with the IRS. You can request this on your tax return, by phone at 1-800-829-1040, or through the IRS website. A payment plan may include interest and penalties, but it prevents the IRS from taking collection action.

Does my spouse's SSDI affect my taxes if we file jointly?

Yes. When you file jointly, the IRS combines both spouses' income to calculate combined income. Both of your SSDI amounts go into the calculation, and the threshold for married filing jointly is $32,000. If the combined total exceeds that, both of you report your respective SSDI amounts on the same Form 1040.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.