Home Savings Act

This bill would change federal tax law so that money taken out of a retirement account is not counted as taxable income if it is used for a down payment or closing costs on a main home. The home can be for the account holder or for a spouse, child, grandchild, or parent or grandparent of the account holder or spouse. It covers 401(k)-type plans, certain annuity plans, IRAs, and government 457(b) plans. Money given to a relative for this purpose would not count as a gift for gift tax purposes. The rule would apply to withdrawals in tax years starting after December 31, 2025, and would end for tax years starting after December 31, 2030.

Full text and official record on Congress.gov

Sponsors

• John J. McGuire III Republican sponsor
• 5 cosponsors