Kane County Reporter

Cristina Castro introduced SB0148 in the Illinois Senate on Jan. 17, 2025, during the general assembly session 104, according to the Illinois General Assembly.

According to the Illinois General Assembly site, the legislature summarized the bill's official text as follows: "Creates the Illinois Home Buyer Savings Accounts Act. Provides that a first-time and second-chance home buyer may open an account with a financial institution designated in its entirety by the financial institution as a first-time and second-chance home buyer savings account. Provides that the funds in a first-time and second-chance home buyer savings account may be used only to pay a first-time and second-chance home buyer's eligible costs for the purchase of a single-family residence in Illinois. Provides that 2 first-time and second-chance home buyers may jointly own a first-time and second-chance home buyer savings account. Provides that only cash and marketable securities may be contributed to a first-time and second-chance home buyer savings account. Sets forth provisions concerning the responsibilities of an account holder; the responsibilities of financial institutions; deduction of contributions, exclusion of earnings, and limitations; the penalty for withdrawal for purpose other than eligible costs; and the forms the Department of Revenue must adopt."

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill establishes the Illinois Home Buyer Savings Accounts Act, allowing first-time and second-chance home buyers to open specialized savings accounts for purchasing single-family homes in Illinois. The accounts, managed by financial institutions, can only consist of cash and marketable securities and be used for down payments and eligible closing costs. Joint ownership is permitted if account holders file a joint tax return. Account holders can deduct up to $5,000 individually or $10,000 jointly from state taxes for contributions, capped at $25,000 for individuals and $50,000 for joint accounts over 10 years. Misuse of funds incurs penalties and tax inclusion. Exclusions apply for withdrawal under specific conditions, such as disability or death. The Department of Revenue must develop forms and annually report to the General Assembly starting March 31, 2026.

Cristina Castro has proposed one other bill since the beginning of the 104th session.

Castro graduated from Northern Illinois University in 2001 with a BA.

Cristina Castro is currently serving in the Illinois State Senate, representing the state's 22nd Senate District. She replaced previous state senator Mike Noland in 2017.

Bills in Illinois follow a multi-step legislative process, beginning with introduction in either the House or Senate, followed by committee review, floor debates, and votes in both chambers before reaching the governor for approval or veto. The General Assembly operates on a biennial schedule, and while typically thousands of bills are introduced each session, only a fraction successfully pass through the process to become law.

You can read more about bills and other measures here.

Bill Number	Date Introduced	Short Description
SB0148	01/17/2025	Creates the Illinois Home Buyer Savings Accounts Act. Provides that a first-time and second-chance home buyer may open an account with a financial institution designated in its entirety by the financial institution as a first-time and second-chance home buyer savings account. Provides that the funds in a first-time and second-chance home buyer savings account may be used only to pay a first-time and second-chance home buyer's eligible costs for the purchase of a single-family residence in Illinois. Provides that 2 first-time and second-chance home buyers may jointly own a first-time and second-chance home buyer savings account. Provides that only cash and marketable securities may be contributed to a first-time and second-chance home buyer savings account. Sets forth provisions concerning the responsibilities of an account holder; the responsibilities of financial institutions; deduction of contributions, exclusion of earnings, and limitations; the penalty for withdrawal for purpose other than eligible costs; and the forms the Department of Revenue must adopt.
SB0029	01/13/2025	Amends the Notice By Publication Act. Provides that whenever a municipality is required to provide notice by publication in a newspaper by law, order of court, or contract, the municipality may publish the notice on an official municipal website instead of in a newspaper if the notice published on the official municipal website is also published electronically on a searchable online database website and that website provides independent certification of the publication. Provides conditions concerning the availability and format of the searchable online database website. Repeals a Section concerning the placement of published notices on a statewide website and makes corresponding changes throughout the Act and in the Newspaper Legal Notice Act. Effective immediately.