Opportunity Zones are a New Tax-Advantaged Way to Invest
An Opportunity Zone (OZ) is an economically-distressed community where federal tax incentives may be available for new investments.
Established by Congress as part of the 2017 Tax Cuts and Jobs Act, the Opportunity Zone Program aims to increase investment and revitalize communities. Since most of this program is in private hands, the program offers a simple way to reinvest capital gains into distressed communities through Opportunity Funds.
How does Opportunity Fund investing work?
An investor who has triggered a capital gain by selling an asset like stocks or real estate can receive special tax benefits if they roll that gain into an Opportunity Fund within 180 days. There are three primary advantages to rolling over a capital gain into an Opportunity fund: