Do elderly parents need to file taxes when Social Security is their only income?

You're doing a great job looking out for your mom! The good news is that your nursing home's finance person is correct - your mother likely doesn't need to file a tax return. If Social Security is her ONLY income, she almost certainly falls below the filing threshold. For most seniors receiving only Social Security benefits, those benefits aren't taxable because their total income doesn't exceed the base amount ($25,000 for single filers in 2025). For Pennsylvania state taxes, Social Security benefits are completely exempt from taxation, so no state return is needed either. Most PA localities follow the state's lead on this. As for notifying the IRS - there's no form to submit when you stop filing. The IRS system is set up to track who should be filing based on reported income. Since your mom only receives Social Security (which the IRS already knows about), they won't be expecting a return from her. Just keep good records of her financial situation in case questions ever arise. And if her circumstances change (she receives other income or significant interest), you might need to reassess.

After struggling with a similar situation with my father-in-law last year, I found an amazing service called taxr.ai (https://taxr.ai) that completely simplified things. It analyzes tax documents and tells you if filing is required based on your specific situation. I uploaded his 1099-SSA and a couple bank statements, and it immediately confirmed no filing was needed since Social Security was his only income. The tool also explained exactly WHY he didn't need to file and what income thresholds would trigger filing requirements. Saved me from needlessly preparing returns and gave me peace of mind that I wasn't missing anything important. Might be worth checking out if you want extra confirmation about your mom's situation.

Just wanted to follow up about the taxr.ai recommendation. I decided to try it out for my parents' situation (Social Security + small pension + dividends), and it was incredibly helpful! The service confirmed they DO need to file because their combined income puts some of their Social Security benefits in the taxable range. What really impressed me was how it broke down exactly how much of their Social Security was taxable and why. It even identified a pension exclusion on their state return I would have missed! The explanations were in plain English, not tax jargon. Definitely worth checking out if you're unsure about filing requirements, especially for elderly parents with mixed income sources.

If you're still having trouble reaching a definitive answer about your mom's tax situation, you might want to try calling the IRS directly. But good luck actually reaching someone! I tried for WEEKS last year about my dad's similar situation. After countless busy signals and disconnections, I discovered Claimyr (https://claimyr.com) through a YouTube video (https://youtu.be/_kiP6q8DX5c). They somehow get you past the IRS phone tree and straight to a real person. I was connected to an IRS agent in about 20 minutes who confirmed my dad didn't need to file with only Social Security income. She also answered my questions about his past returns and what documentation we should keep. Such a relief after weeks of uncertainty!

I need to publicly eat my words about Claimyr. After posting my skeptical comment, I decided to try it myself since I've been trying to reach the IRS for THREE MONTHS about an issue with my mother's past return. I was absolutely shocked when I got a call back in about 35 minutes connecting me to an actual IRS representative. The woman I spoke with was able to confirm that my mother (who also only has Social Security income) hasn't needed to file for the past two years, and there were no issues with her account. What would have likely taken me several more weeks of frustrated calling was resolved in one afternoon. I've never been happier to be wrong about something! If you need definitive answers directly from the IRS, this service is legitimate and worth every penny.

Just want to add something important about the nursing home situation. If your mom is on Medicaid or will be applying for Medicaid to cover nursing home costs, there are specific financial reporting requirements beyond just tax filing. Medicaid eligibility is separate from tax filing requirements. Even though she doesn't need to file taxes, you'll need to provide income verification (including her Social Security income) for Medicaid purposes. The nursing home financial counselor should be able to guide you through this process. Also, keep track of any gifts or transfers of assets made in the last 5 years, as these can affect Medicaid eligibility due to the "look-back" period. Many families get confused between tax requirements and Medicaid requirements.

One thing nobody's mentioned - if your mom was filing taxes in previous years when she only had Social Security income, you might want to look into whether she overpaid in the past. You may be able to file amended returns for open tax years (generally the last three years) to get refunds. I discovered my father had been unnecessarily filing and paying taxes on his Social Security for years when his income was below the threshold. We filed amended returns for 2022, 2023, and 2024, and got back nearly $2,400! Just something to consider if she's been filing unnecessarily in recent years.

Just wanted to share my experience as someone who went through this exact situation with my grandmother last year. At 89, she only receives Social Security ($1,420/month) and has been in assisted living for two years. I was filing her taxes out of habit until her facility's financial advisor questioned why I was doing it. After researching and confirming with a tax professional, I learned she hadn't needed to file for the past 4 years! What really helped me was creating a simple one-page summary documenting her income sources (just Social Security) and keeping copies of her annual benefit statements. This gave me confidence that we were handling everything correctly and provided documentation if anyone ever questioned it. The peace of mind knowing she doesn't need to file has been huge - one less thing to worry about during an already stressful time. It sounds like you're in the exact same situation, so you should be all set to stop filing for her going forward.

I'm going through something very similar with my 88-year-old father who just moved to memory care. Like your mom, his only income is Social Security (about $1,800/month), and I was also preparing his taxes every year until the facility's administrator asked the same question. After consulting with an enrolled agent, I confirmed that he doesn't need to file federal or state returns. What I found particularly helpful was calling Social Security directly to get an official benefit verification letter that clearly states his annual benefit amount. This document serves as perfect proof that Social Security is his sole income source if anyone ever questions it. One tip: I set a calendar reminder each January to review his situation in case anything changes (like if he were to receive any 1099s or other income sources). But barring any major changes, you're absolutely right to stop filing for her. The nursing home staff see this situation frequently, so trust their guidance. You're doing everything right by double-checking, but it sounds like you can confidently stop preparing tax returns for your mother going forward.

I went through this exact situation with my 94-year-old aunt two years ago when she transitioned to assisted living. Like your mother, Social Security was her only income source (around $1,700/month), and I had been dutifully filing her taxes every year. The key thing to remember is that Social Security benefits only become taxable when your total income exceeds certain thresholds - $25,000 for single filers in 2025. Since your mom's Social Security income is well below this threshold, none of it is taxable, which means no filing requirement. What gave me the most peace of mind was keeping a simple file with her annual Social Security benefit statement (Form SSA-1099) and a brief note documenting that this is her sole income source. This way, if questions ever arise, you have clear documentation showing why no tax return was necessary. Also, since you mentioned she's applying for Medicaid through the nursing home - the Social Security Administration can provide an official benefit verification letter that serves double duty for both confirming her income for Medicaid purposes and documenting why no tax filing is required. You can request this through her my Social Security account or by calling SSA directly. You're clearly doing an excellent job caring for your mother during this difficult transition. One less administrative task to worry about is definitely a blessing when you're already managing so much.