5792: First-Time Home Buyer Savings Program (2025)
Michigan · Michigan Treasury · Used for tax years 2025
Michigan Form 5792 is filed with Form MI-1040 to report first-time home buyer savings account information and calculate deductions for net contributions and interest earned. It also reports nonqualified withdrawal addbacks and penalties.
Who files this form
Eligible taxpayers claiming a deduction for first-time home buyer savings account contributions must file Form 5792 with their Michigan Individual Income Tax Return, Form MI-1040, to report account information. The form also reports nonqualified withdrawals, addbacks, and penalties.
The account must have a qualified beneficiary. This is a Michigan resident who has not owned or purchased a single-family residence, individually or jointly, during the 3 years before purchasing a Michigan single-family residence. The beneficiary may be the account holder or another Michigan resident designated by the account holder.
Do not include an account if its beneficiary does not qualify.
When it's due
The 2025 tax-year form states that first-time home buyer savings accounts may be opened from January 1, 2022, through December 31, 2026. This is the account-opening window, not a tax return filing deadline.
Contribution deductions are available for tax years 2022 through 2026. The supplied text does not state a filing deadline for the 2025 return.
What you'll need
Account holders must submit these documents with their income tax return:
- Account statements showing contributions and taxable interest or earnings for the tax year in which the deduction is claimed.
- The Form 1099 issued by the financial institution for that tax year.
- When funds are withdrawn, a copy of the real estate settlement statement showing that the withdrawal paid eligible costs.
If you claim a deduction but are not the account holder, provide:
- Account statements showing your contributions.
- Account statements showing qualified withdrawals, if any.
To complete the form, you also need filer and spouse information, including full Social Security numbers where applicable, plus each account’s holder, qualified beneficiary, financial institution, account number, beginning and ending balances, opening date, and withdrawal dates.
How to file
File Form 5792 with your 2025 Michigan Form MI-1040, along with the required supporting documents. The supplied text does not give a mailing address or e-file directions.
- Complete the account table. Report net contributions, meaning contributions minus qualified withdrawals during the year. If multiple taxpayers contributed, prorate the qualified withdrawal as directed. Net contributions cannot be less than $0.
- On line 1, total net contributions, up to $5,000 for single filers or $10,000 for joint filers.
- On line 2, total eligible interest. Report account interest only if you are the account holder and the interest was included in your adjusted gross income.
- Add lines 1 and 2 on line 3, and enter that amount on Schedule 1, line 21.
- For nonqualified withdrawals, complete the second-page table. Transfer the total addback from line 4 to Schedule 1, line 8, and the total penalty from line 5 to MI-1040, line 23.
Common mistakes
- Including an ineligible beneficiary’s account. The form specifically says not to include it.
- Leaving out supporting statements. Attach the account statements that support your claim.
- Entering withdrawal dates incorrectly. Leave the date blank if there was no withdrawal. Enter “various” if there were multiple withdrawals.
- Using account funds for other purposes. Using funds for anything other than eligible costs for a qualified beneficiary’s Michigan single-family residence can lead to penalties and loss of tax benefits.
Questions people ask
What costs are eligible?
Eligible costs are the down payment and disbursements listed on the settlement statement for the purchase of a Michigan single-family residence.
How much can I deduct for 2025?
Net contributions are deductible up to $5,000 on a single return or $10,000 on a joint return, to the extent not deducted in determining adjusted gross income. Account interest is also deductible to the extent not deducted in determining adjusted gross income.
Can I have more than one account?
Yes, but each account you establish must have a different qualified beneficiary. A qualified beneficiary may be designated on more than one account. The maximum account balance is $50,000, although interest may continue to accrue after that limit is reached.
When is a qualified withdrawal free from Michigan income tax?
A qualified withdrawal is not subject to Michigan income tax if it is made at least one year after the account was opened. To qualify, the withdrawal must come from an account the taxpayer designated as a first-time home buyer savings account on their income tax return and must pay or reimburse eligible costs.
What happens if I make a nonqualified withdrawal?
The account holder must calculate any required addback and penalty. A nonqualified withdrawal reported with reason code 60 is subject to a 10% penalty. The instructions list exception codes for certain withdrawals; a penalty exception does not necessarily eliminate the addback.