The proposed bill aims to create an income tax exemption for certain individuals based on their age and income level. It specifically targets senior citizens who are at least sixty-five years old and have an annual gross income not exceeding twenty-five thousand dollars ($25,000). The bill includes legislative findings that highlight the financial challenges faced by senior citizens, particularly the rising costs of living and the fact that many are on fixed incomes, often below $1,600 per month.

Additionally, the bill introduces a new section to the Arkansas Code, designated as 26-51-317, which outlines the criteria for the income tax exemption. The effective date for this exemption is set for tax years beginning on or after January 1, 2026. This legislation seeks to provide financial relief to eligible senior citizens in Arkansas, acknowledging their unique economic circumstances.