                                 CODE OF VIRGINIA

DEFINITIONS (§ 36-171)

As used in this chapter, unless the context requires a different meaning:
		&#8220;Account holder&#8221; means an individual who establishes, individually
or jointly with one or more other individuals, an account with a financial
institution for which the account holder claims a first-time home buyer savings
account status on his Virginia income tax return.
		&#8220;Allowable closing costs&#8221; means a disbursement listed on a
settlement statement for the purchase of a single-family residence in the
Commonwealth by a qualified beneficiary.
		&#8220;Eligible costs&#8221; means the down payment and allowable closing
costs for the purchase of a single-family residence in the Commonwealth by a
qualified beneficiary.
		&#8220;Financial institution&#8221; means any bank, trust company, savings
institution, industrial loan association, consumer finance company, or credit
union or any benefit association, insurance company, safe deposit company, money
market mutual fund, or similar entity authorized to do business in the
Commonwealth.
		&#8220;First-time home buyer savings account&#8221; or &#8220;account&#8221;
means an account with a financial institution for which the account holder
claims first-time home buyer savings account status on his Virginia income tax
return for taxable year 2014 or any taxable year thereafter, pursuant to this
chapter for the purpose of paying or reimbursing eligible costs for the purchase
of a single-family residence in the Commonwealth by a qualified beneficiary.
Financial institutions shall not be required to (i) designate an account as a
first-time home buyer savings account, or designate the beneficiaries of such
accounts, in the financial institutions&#8217; account contracts or systems or
in any other way; (ii) track the use of funds withdrawn from such accounts;
(iii) allocate funds in such accounts among joint account owners or multiple
beneficiaries; or (iv) report any of the information stated in clause (i), (ii),
or (iii) to the Department of Taxation or other governmental agency. Financial
institutions shall not be responsible for or liable for (a) determining or
ensuring that an account satisfies the requirements to be a first-time home
buyer savings account, (b) determining or ensuring that costs are eligible
costs, or (c) reporting or remitting taxes or penalties for such accounts.
		&#8220;Qualified beneficiary&#8221; means only an individual who resides in
the Commonwealth at the time of settlement on the purchase of a single-family
residence in the Commonwealth who (i) has never owned or purchased under
contract for deed, either individually or jointly, a single-family residence in
the Commonwealth or outside of the Commonwealth; (ii) is designated as the
beneficiary of an account designated by the account holder as a first-time home
buyer savings account; and (iii) may apply moneys or funds held in such account
for eligible costs. A qualified beneficiary may use the funds from such account
for eligible costs regardless of whether such qualified beneficiary purchases
the single-family residence as sole owner or jointly with another individual.
		&#8220;Settlement statement&#8221; means the statement of receipts and
disbursements for a transaction related to real estate, including a statement
prescribed under the Real Estate Settlement Procedures Act of 1974 (RESPA), 12
U.S.C. § 2601 et seq., as amended, and the regulations thereunder, or an
executed sales agreement for the purchase of a manufactured home being conveyed
as personal property.
		&#8220;Single-family residence&#8221; means a single-family residence owned
and occupied by a qualified beneficiary, including a manufactured home, trailer,
mobile home, condominium unit, or cooperative.

HISTORY: 2014, c. 729, § 55-555; 2019, c. 712.