A bill to amend the Internal Revenue Code of 1954 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, is disabled, or is handicapped.

Amends the Internal Revenue Code to allow pensioners under a public retirement system, other retirees who are aged 65 or over, and disabled or handicapped a $10,000 exclusion from gross income for any amount received as an annuity, pension, or other retirement benefit.