Includes pensions from a defined benefit plan in the exclusion from federal adjusted gross income

This bill amends federal tax law to expand an existing exclusion from taxable income to include pensions from traditional employer pension plans (defined benefit plans). Currently, certain pension income is excluded from federal adjusted gross income, but this bill would extend that exclusion to cover these specific pensions. It would apply to taxable years beginning after the effective date, directly affecting retirees receiving payments from defined benefit plans. The change would reduce the taxable income for these retirees by including their pension payments in the exclusion.