On December 22nd, 2017, an exciting new tax incentive legislation was enacted to unlock $6 trillion in unrealized capital gains and encourage investments in certain economically distressed communities known as Opportunity Zones.
If you have invested in stocks, real estate or other assets that have appreciated in value, historically you cannot sell those assets without paying huge taxes. Now, by investing in a qualified opportunity fund you can sell your appreciated asset and temporarily defer your original capital gain until 2026. You’ll also be able to reduce your capital gains expense and have the ability to permanently exclude capital gains from the appreciation yielded from your investment into the qualified opportunity fund.
Learn more about Opportunity Zones.