---
kind: "section"
citation: "45 C.F.R. § 263.22"
title: "45"
number: "263.22"
heading: "Are there any restrictions on IDA funds?"
url: "https://uscodex.org/cfr/45/263.22"
---

# §263.22. Are there any restrictions on IDA funds?


The following restrictions apply to IDA funds:

- (a) A recipient may deposit only earned income into an IDA.
- (b) A recipient's contributions to an IDA may be matched by, or through, a qualified entity.
- (c) A recipient may withdraw funds only for the following reasons:
  - (1) To cover post-secondary education expenses, if the amount is paid directly to an eligible educational institution;
  - (2) For the recipient to purchase a first home, if the amount is paid directly to the person to whom the amounts are due and it is a qualified acquisition cost for a qualified principal residence by a qualified first-time home buyer; or
  - (3) For business capitalization, if the amounts are paid directly to a business capitalization account in a federally insured financial institution and used for a qualified business capitalization expense.

## Notes

### Authority

Authority: 42 U.S.C. 604, 607, 609, and 862a; Pub. L. 109-171.

### Source

Source: 64 FR 17893, Apr. 12, 1999, unless otherwise noted.