Homeownership Savings Act

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 8709 Introduced in House (IH)] <DOC> 119th CONGRESS 2d Session H. R. 8709 To amend the Internal Revenue Code of 1986 to allow the establishment of homeownership savings accounts. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES May 7, 2026 Ms. Stevens introduced the following bill; which was referred to the Committee on Ways and Means _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to allow the establishment of homeownership savings accounts. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Homeownership Savings Act''. SEC. 2. HOMEOWNERSHIP SAVINGS ACCOUNT. (a) In General.--Part VII of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 223 the following new section: ``SEC. 223A. HOMEOWNERSHIP SAVINGS ACCOUNT. ``(a) Deduction Allowed.--In the case of an account beneficiary, there shall be allowed as a deduction for the taxable year an amount equal to the aggregate amount paid in cash during such taxable year by or on behalf of such individual to a homeownership savings account of such individual. ``(b) Limitations.-- ``(1) Annual dollar limitation.--The amount allowable as a deduction under subsection (a) to an individual for the taxable year shall not exceed-- ``(A) $3,000 in the case of a joint return, ``(B) $2,500 in the case of a head of household, or ``(C) $2,000 in the case of any other individual. ``(2) Limitation based on earned income.-- ``(A) In general.--The amount allowable as a deduction under subsection (a) shall not exceed such individual's earned income for the taxable year. ``(B) Special rule for joint returns.--In the case of an individual whose earned income is less than