If you have a Minnesota First-Time Homebuyer Savings Account, you may be able to subtract certain income earned on that account from your Minnesota taxable income. This subtraction is used to help taxpayers save money for eligible first-time homebuyer costs.
What Is the First-Time Homebuyer Savings Account Subtraction?
Minnesota allows a subtraction for certain interest and dividends earned on a qualifying First-Time Homebuyer Savings Account. To claim the subtraction, you must complete Schedule M1HOME, First-Time Homebuyer Savings Account.
The subtraction amount from Schedule M1HOME is then reported on Schedule M1M, Income Additions and Subtractions.
Who May Qualify?
You may qualify if you have a designated First-Time Homebuyer Savings Account and the account is used to save for eligible first-time homebuyer costs.
A qualified beneficiary is generally a Minnesota resident who has not owned a principal residence within the last three years. The account holder may also be the beneficiary of the account.
Program Entry
- State
- Edit Minnesota using the three dots
- Subtractions from Income
- First-Time Homebuyer Savings Account Subtraction
The program will use your entries to complete Schedule M1HOME and carry any allowable subtraction to Schedule M1M.
Additional Information
What type of income can I subtract from my Minnesota return?
Minnesota DOR: First Time Homebuyer Savings Account Subtraction