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An AI model extracted this from the bill’s official record and can make mistakes. Check the official text ↗ (opens in new tab)

Account beneficiary

The individual for whom a Down Payment Savings Account is opened and maintained.

Qualified down payment expenses

The money used for the down payment or closing costs when buying a first principal residence.

First-time homebuyer

An individual who has not owned a principal residence in the last two years before purchasing a new home. For contributions to the account, it also means not having owned a principal residence in the last three years.

Principal residence

The main home where an individual lives.

Taxable year

The 12-month period for which an individual or company calculates and reports their income for tax purposes, typically the calendar year.

Modified adjusted gross income

A version of adjusted gross income (AGI) that includes certain income usually excluded from gross income, used here to determine eligibility for the full deduction.

Deduction

An amount that can be subtracted from an individual's gross income to reduce the amount of income subject to tax.