Section 42, Low-Income Housing Credit Average Income Test Procedures

Document 2025-19005 is a Final Rule published by the Department of the Treasury in the Federal Register on September 30, 2025, with an effective date of September 30, 2025. This document contains final regulations setting forth recordkeeping and reporting requirements for the average income test for purposes of the low-income housing credit. If a building is part of a residential rental project that satisfies the average income test, the building may be eligible to earn low-income housing credits. These final regulations affect owners of low-income housing projects, State or local housing credit agencies that monitor compliance with the requirements for low-income housing credits, and, indirectly, tenants in low-income housing projects. View the original at https://www.federalregister.gov/documents/2025/09/30/2025-19005/section-42-low-income-housing-credit-average-income-test-procedures.

No. Document 2025-19005 is not classified as economically significant under Executive Order 12866. Economically significant rules require OIRA review and are estimated to have impacts of $100 million or more per year.