To amend the Internal Revenue Code of 1986 to permit an exemption of the first $10,000 of retirement income received by a taxpayer under a public retirement system or any other system if the taxpayer is at least 65 years of age.

Amends the Internal Revenue Code to exclude from gross income any annuities, pensions, or other retirement benefits received by individuals under a public retirement system and by other retirees aged 65 or older if total income from such sources (not including tax-excluded amounts) is $10,000 or less.