New Incentivized Investment: Opportunity Zones

摘要

In the recently passed Tax Cuts and Jobs Act, Congress has added an opportunity to encourage investors to start new businesses in economically depressed areas. The incentives are threefold: (1) gains from the sale of any property are deferred to the extent they are invested in an "opportunity zone" fund; (2) the amount of the deferred gain is reduced if the investor maintains the investment for at least five years; and (3) all profits from the new investment escape tax altogether as long as it is held for at least 10 years.