House Bill 16-1467 Summary

• Establishes a First-Time Home Buyer Savings Account program allowing individuals to exclude interest and investment earnings from state taxable income beginning January 1, 2017.

• Sets contribution limits of $14,000 per year for individuals and $28,000 for joint filers, with a lifetime maximum contribution of $50,000 and maximum account balance of $150,000.

• Permits account funds to be used for down payments and closing costs (appraisal fees, mortgage origination fees, inspection fees) for primary residence purchases in Colorado.

• Imposes recapture of tax benefits and penalties of 5% (within 10 years) or 10% (after 10 years) if funds are withdrawn for non-eligible purposes or within one year of first deposit.

• Exempts financial institutions from tracking account use, determining account holder eligibility, or reporting to the Department of Revenue, placing all compliance responsibility on account holders.