Firefighter pension income taxation subtraction establishment

This bill would allow Minnesota taxpayers to subtract firefighter pension income from their state individual income tax. It directly affects firefighters who receive annuity income or lump-sum payments from public retirement plans based on their firefighting service. The key provision adds a new subtraction category to the state tax code, defining firefighter pension income specifically as payments from public retirement plans tied to firefighting service. The change would take effect for taxable years beginning after December 31, 2025.