; limitation on acquisition basis. Sec. 205. Certain relocation costs taken into account as rehabilitation expenditures. Sec. 206. Repeal of qualified census tract population cap. Sec. 207. Determination of community revitalization plan to be made by housing credit agency. Sec. 208. Prohibition of local approval and contribution requirements. Sec. 209. Increase in credit for certain projects designated to serve extremely low-income households. Sec. 210. Increase in credit for bond-financed projects designated by State agency. Sec. 211. Elimination of basis reduction for low-income housing properties receiving energy credit benefits. Sec. 212. Restriction of planned foreclosures. Sec. 213. Increase of population cap for difficult development areas. Title III—Reforms relating to Native American assistance Sec. 301. Selection criteria under qualified allocation plans. Sec. 302. Inclusion of Indian areas as difficult development areas for purposes of certain buildings. Title IV—Affordable housing tax credit Sec. 401. Affordable housing tax credit. I Reforms relating to tenant eligibility 101. Average income test (a) In general Paragraph (1) of section 42(g) of the Internal Revenue Code of 1986 is amended— (1) by striking subparagraph (A) or (B) and inserting subparagraph (A), (B), or (C) , and (2) by inserting after subparagraph (B) the following new subparagraph: (C) Average income test (i) In general The project meets the minimum requirements of this subparagraph if 40 percent or more (25 percent or more in the case of a project described in section 142(d)(6)) of the residential units in such project are both rent-restricted and occupied by individuals whose income does not exceed the imputed income limitation designated by the taxpayer with respect to the respective unit. (ii) Special rules relating to income limitation For purposes of clause (i)— (I) Designation The taxpayer shall designate the imputed income limitation of each unit taken into account under such clause. (II) Average test The average of the