Opportunity Zone Program Has Generated Widespread Interest

    View Authors November 2018

    The Opportunity Zone program, contained in new tax code Section 1400Z-2, has generated widespread interest. Generally, the Opportunity Zone program encourages investment in low-income communities by allowing individual and corporate taxpayers to defer paying tax on gains from the sale of stock, business assets or any other property by investing the proceeds into a “qualified opportunity fund,” which, in turn, must invest at least 90% of its assets, directly or indirectly, in businesses located in certain low-income communities designated as “qualified opportunity zones.” Partial forgiveness of tax on deferred gains and on future appreciation is possible for Opportunity Fund investments held for five, seven and 10 years.

    Our firm is a leader in advising on the Opportunity Zone program and in organizing and assisting with offerings of Opportunity Funds.

    Tax partner Steven Mount has authored this series of articles on Opportunity Zones, which originally appeared in the Tax Management Real Estate Journal, published by Bloomberg Tax.