Income and area median gross income are determined consistently with Section 8 and adjusted for family size

bond.income_calculation.section_8_method_and_family_size · v1.0.0

The income of individuals and area median gross income are determined by the Secretary in a manner consistent with determinations of lower income families and area median gross income under section 8 of the United States Housing Act of 1937, and those determinations must include adjustments for family size. Subsections (g) and (h) of section 7872, which impute interest on below-market loans, do not apply in determining income under 142(d). HUD publishes the resulting figures as the Multifamily Tax Subsidy Projects income limits, the same series section 42 uses, which is why a single income calculation can serve both regimes on a 4% deal even though the two regimes then apply it to different questions.

Confidence

high

Effective from

1986-10-22

Last reviewed

2026-08-30