Personal income taxes: gross income exclusion: homeownership savings accounts.

The Personal Income Tax Law, in modified conformity with federal income tax laws, allows various exclusions from gross income. This bill, on or after January 1, 2020, and before January 1, 2025, would exclude from gross income any income earned on the moneys contributed to a homeownership savings account, subject to specified restrictions, including that the account is designated as a homeownership savings account by the trustee for the benefit of a qualified taxpayer, as defined, and that the account is closed once the purchase of the qualified taxpayer's principal residence is complete. The bill would apply only to a qualified taxpayer who, among other things, resides in the County of Los Angeles, the County of Orange, or the County of San Diego, and would require that qualified homeownership savings expenses be paid or incurred in connection with the purchase of a principal residence in one of those counties. This bill would make legislative findings and declarations as to the necessity of a special statute for Counties of Los Angeles, Orange, and San Diego. This bill would take effect immediately as a tax levy.