Individual Housing Act of 1983

Individual Housing Act of 1983 - Amends the Internal Revenue Code to allow an income tax deduction for cash contributions to a savings account established for the benefit of the taxpayer (or the taxpayer and spouse if married) for the exclusive purpose of purchasing the taxpayer's first principal residence. Limits the maximum annual deduction to $5,000, with a maximum lifetime deduction of $15,000. Excludes distributions from such account from gross income if they are used exclusively for the purchase of a first principal residence. Imposes a ten percent surtax on distributions from an individual housing account which are not used for the purchase of a principal residence.

Requires the trustee of an individual housing account to report on the maintenance of the account. Imposes a penalty for failure to file required reports.