The Qualified Opportunity Zone incentive is part of the Tax Cuts & Jobs Act of 2017 and is the largest new federal economic development program enacted in years. There are 181 Opportunity Zones in Cook County that offer several tax benefits to investors that could spur substantial new capital influx into targeted neighborhoods within Chicago and Cook County.Search Maps Get Deals Read News
The Qualified Opportunity Zone (“QOZ”) program seeks to encourage investment and stimulate economic growth in certain distressed communities by providing various federal income tax benefits to taxpayers who invest in real estate and businesses that operate within these zones.
When you invest your capital gains in a Qualified Opportunity Fund, you can defer those gains until December 31, 2026..
When you invest your capital gains in a Qualified Opportunity Fund, you can reduce your capital gains by up to 15% after a 7-year holding period..
When you invest your capital gain in a Qualified Opportunity Fund, you can defer those gains until December 31, 2026
After a 5-year holding period taxable basis decreases by 10%
After a 7-year holding period taxable basis decreases by 15%
After a 10-year hold Opportunity Fund gain become tax exempt (exclusive of original capital gains)
The total number of census tracts certified as Opportunity Zones by the U.S. Treasury.
Potential unrealized capital gains eligible for Qualified Opportunity Fund investment and tax treatment.
Treasury Secretary Steven Mnuchin’s estimate of private capital that will flow into Opportunity Zones.
In conversations about economically distressed communities, the term "Food Deserts" often comes up. Is there a way that Opportunity Zones can aid in the elimination of Food Deserts in these areas?
Whether Donald Trump or Joe Biden wins the presidential election this week, commercial real estate can expect the opportunity zone program will remain intact but receive some tweaks.