The Opportunity Zones program was established by Congress in the recently passed Tax Cut and Jobs Act as an innovative approach to long-term private sector investments in low-income urban and rural communities nationwide. It is based on the bipartisan Investing in Opportunity Act.
The program establishes a mechanism that enables investors with capital gains tax liabilities across the country to receive favorable tax treatment for investing in Opportunity Funds that are certified by the U.S. Treasury Department. The Opportunity Funds use the capital invested to make equity investments in businesses and real estate in Opportunity Zones designated by each state.
Opportunity Zones are low-income census tracts that were designated by Governors and certified by Treasury in Spring 2018. These zones will remain in effect until December 31, 2028. U.S. investors currently hold trillions of dollars in unrealized capital gains, representing a significant untapped resource for economic development. Opportunity Funds will allow these investors throughout the country to pool and deploy their resources as Opportunity Zone investments, in exchange for tax deferrals or cancellation.
Communities include: Lockland, Lincoln Heights, Arlington Heights, and parts of Cincinnati, Forest Park, Norwood, and Springfield Township. Investment activity is set to begin in Q4 2018. For more information, please contact HCDC VP Harry Blanton at email@example.com.