On March 24, the IRS will hold a hearing on its proposed rule to implement the Average Income Test (AIT). The hearing will allow stakeholders an opportunity to provide feedback on the proposed rule. Those interested in testifying at the virtual hearing must submit their contact information and an outline of their expected oral comments to [email protected] by March 5.
Background: The AIT was included as a new minimum set-aside option in the Consolidated Appropriations Act of 2018, and though states have since developed their own policies, the IRS final rule will provide the official regulatory guidance on the AIT’s implementation. The AIT allows owners of Housing Credit projects for which the owner chooses AIT as the project’s minimum set-aside to serve households earning as much as 80 percent of the area median income (AMI), so long as on average qualified low-income units have income designations that are 60 percent or less of the AMI.
(Source: Action Campaign, March 1, 2021)