Amends the Internal Revenue Code to designate the provision of qualified homeowner dowpayment assistance as a "charitable purpose" for purposes of income, estate, and gift taxes. Defines "qualified homeowner downpayment assistance" as a gift of cash for the purpose of providing any downpayment for the purchase of a principal residence. Denies an income tax deduction to certain donors of homeowner downpayment assistance who receive a direct financial benefit in connection with the purchase of a principal residence for which the purchaser received downpayment assistance.