SECTION 4. OPTION TO APPLY

2023 ADJUSTED HOUSING LIMITATIONS TO 2022 TAXABLE YEAR

For some locations, the limitation on housing expenses provided in Section 3 of this notice may be higher than the limitation on housing expenses provided in the “Table of Adjusted Limitations for 2022” in Notice 2022-10, 2022-10 I.R.B. 815. A qualified individual incurring housing expenses in such a location during 2022 may apply the adjusted limitation on housing expenses provided in Section 3 of this notice for 2023 in lieu of the amounts provided in the “Table of Adjusted Limitations for 2022” in Notice 2022-10 (and as set forth in the Instruc

tions to Form 2555, Foreign Earned In- come, for 2022).

The Treasury Department and the IRS anticipate that future annual notices providing adjustments to housing expense limitations will make a similar option available to qualified individuals that incur housing expenses in the immediately preceding year. For example, when adjusted housing expense limitations for 2024 are issued, it is expected that taxpayers will be permitted to apply those adjusted limitations to the 2023 taxable year.