HI HB1274

Increases the annual contribution limit to individual housing accounts from $5,000 to $15,000 per individual ($10,000 to $30,000 for joint filers).

Raises the lifetime contribution cap from $25,000 to $200,000 per individual, excluding interest earned.

Allows taxpayers to deduct contributions to first-time homebuyer savings accounts from gross income, with interest on accounts excluded from income.

Requires account distributions to be used exclusively for purchasing a first principal residence in Hawaii within 365 days to qualify for the tax deduction.

Effective for taxable years beginning after December 31, 2023, and removes obsolete provisions related to purchases made before 1990.