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 65 years old and have an annual gross income not exceeding $25,000. The bill highlights the financial challenges faced by senior citizens, including rising living costs and the prevalence of fixed incomes, which often fall below $1,600 per month.

In addition to establishing the exemption, the bill includes legislative findings that underscore the economic pressures on seniors, referencing the significant increases in living expenses as indicated by the Consumer Price Index. The new legal language specifies that this tax exemption will be effective for tax years beginning on or after January 1, 2026.