NEST Act

This bill would create a new type of tax-advantaged savings account for first-time homebuyers age 18 or older. People could deduct their contributions from their taxable income, and money withdrawn to pay for buying, building, or rebuilding a primary home, including down payments and closing costs, would not be taxed. Lifetime contributions would be capped at 20 percent of the median home sale price in the state where the account is opened. Withdrawals used for other purposes would be taxed as income plus an extra 20 percent tax, and the account would close 60 days after the owner buys a home. Employer contributions to these accounts would not count as taxable income or wages for payroll taxes.

Full text and official record on Congress.gov

Sponsors

• Kat Cammack Republican sponsor
• 1 cosponsors