How is 140% of the applicable income determined for recertification under LIHTC?

To determine 140% of the applicable income for recertification under the Low-Income Housing Tax Credit (LIHTC) program, the process involves multiplying the current income limit by 1.4. This approach effectively adjusts the income limit to reflect the increase of 40% over the established threshold, which is essential for maintaining eligibility guidelines within the LIHTC program.

Using this method ensures that housing options remain affordable for low-income tenants, as the 140% calculation allows for adjustments based on income growth or changes in economic conditions, while still adhering to the program's goals. By taking the current income limit and applying this straightforward multiplication factor, one can accurately assess eligibility for continued participation in the program during recertification.