### Question
How does the law define qualified allocation plan?


### Answer
Under *26 U.S.C. § 1400I*, **qualified allocation plan** is defined as:

> any plan—



(A) which sets forth selection criteria to be used to determine priorities of the commercial revitalization agency which are appropriate to local conditions,



(B) which considers—



(i) the degree to which a project contributes to the implementation of a strategic plan that is devised for a renewal community through a citizen participation process,



(ii) the amount of any increase in permanent, full-time employment by reason of any project, and



(iii) the active involvement of residents and nonprofit groups within the renewal community, and


  


(C) which provides a procedure that the agency (or its agent) will follow in monitoring compliance with this section

#### Citation:
  - *26 U.S.C. § 1400I*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter X-Renewal Communities > PART III-ADDITIONAL INCENTIVES**

