Related Topics:

Tax Credits, Deductions & Exemptions Guidance
Individual Income Tax

The first-time homebuyers savings account (FTHSA) is a special type of savings account that helps Iowans save for a first home. As described in Senate File 505, it includes provisions that allow individuals, including those who already own a home, to make tax deductible contributions into an account to be used by a designated person for certain expenses related to purchasing a first home. The account must be opened at a financial institution in Iowa. 

This page is intended to provide guidance on the Iowa tax consequences of opening and maintaining an Iowa first-time homebuyer savings account. This page is not intended to provide guidance on the federal tax consequences of this program, if any. Consult your tax preparer or the Internal Revenue Service for information about how contributions to, and distributions from, an Iowa first-time homebuyer savings account may affect your federal taxes.