Q&A | HERA Special limits for the AIT?
Jun 03, 2026
Question
We saw your announcement on the adjusted AIT limits HERE. We noted that the AIT limits do not include the HERA Special options. Is this another adjustment HUD will need to make?
Answer
Summary | No. HERA Special limits do not apply to AIT properties.
The HERA Special income limits are only available to LIHTC projects placed in service before 2009. By contrast, a project can only use the Average Income Test (AIT) if it is part of a credit allocation made after the enactment of the AIT provisions in 2018. As a result, projects using AIT are not eligible for the HERA Special protections, and there is no need for HUD to publish HERA Special versions of the AIT limits.
In the case of an LIHTC resyndication, the IRS has indicated that the new credits are treated using a new placed-in-service date for income limit purposes. Therefore, even a property that previously qualified for the HERA Special protections would generally not retain that option under a new credit allocation using AIT.
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