Questions & Answers
What is the subtraction for First-time Home Buyer Savings Account Contributions and Earnings?
Oregon allows a subtraction for amounts you deposited during the tax year into a designated First-time Home Buyer Savings Account (FTHBSA), along with any earnings on your deposits.
Requirements
If all of the above apply to your situation, you can subtract up to $5,000 ($10,000 if filing a joint return) in deposits and earnings for the year each year for up to 10 years (or until you reach a total subtraction of $50,000). The maximum subtraction you can take is limited by your federal adjusted gross income (AGI).
Married Filing Jointly AGI Limits
All Other Filing Statuses' AGI Limits
Penalties
You will have to pay penalties on nonqualified withdrawals.
Requirements
- You haven't purchased or owned a single-family home (either individually or jointly with your spouse) in the three years prior to the day you plan to purchase a new home in Oregon and you're an Oregon resident.
- A FTHBSA account was opened between January 1, 2019 and December 31, 2026.
- Money deposited into the account is only used to pay for qualifying costs of buying a single-family home within 10 years of initially opening the account.
If all of the above apply to your situation, you can subtract up to $5,000 ($10,000 if filing a joint return) in deposits and earnings for the year each year for up to 10 years (or until you reach a total subtraction of $50,000). The maximum subtraction you can take is limited by your federal adjusted gross income (AGI).
Married Filing Jointly AGI Limits
| If your federal AGI is at least: | And your federal AGI is less than: | Your maximum FTHBSA subtraction is: |
| $0 | $149,000 | $10,000 |
| $149,000 | $158,000 | $8,000 |
| $158,000 | $167,000 | $6,000 |
| $167,000 | $176,000 | $4,000 |
| $176,000 | $187,000 | $2,000 |
| $187,000 or more | $0 | |
All Other Filing Statuses' AGI Limits
| If your federal AGI is at least: | And your federal AGI is less than: | Your maximum FTHBSA subtraction is: |
| $0 | $104,000 | $5,000 |
| $104,000 | $111,000 | $4,000 |
| $111,000 | $117,000 | $3,000 |
| $117,000 | $123,000 | $2,000 |
| $123,000 | $131,000 | $1,000 |
| $131,000 or more | $0 | |
Penalties
You will have to pay penalties on nonqualified withdrawals.
