Opportunity Zones Provide an Investment Boost for Buyers at RACER Properties
Several RACER Trust properties are certified as a federal “Opportunity Zone” under the Tax Cuts and Jobs Act of 2017. Opportunity Zones provide substantial incentives to spur private investment in development and job creation. The benefit to our buyers is preferential tax treatment for private investment in development.
The Internal Revenue Service has published a detailed list of Frequently Asked Questions about the Opportunity Zone program. According to the FAQ: “Over the next few months, the Treasury Department and the Internal Revenue Service will be providing further details, including additional legal guidance, on this new incentive. More information will be available at Treasury.gov and IRS.gov.”
“Qualified Opportunity Zones retain this designation for 10 years. Investors can defer tax on any prior gains until no later than December 31, 2026, so long as the gain is reinvested in a Qualified Opportunity Fund, an investment vehicle organized to make investments in Qualified Opportunity Zones. In addition, if the investor holds the investment in the Opportunity Fund for at least ten years, the investor would be eligible for an increase in its basis equal to the fair market value of the investment on the date that it is sold.”
RACER Trust Opportunity Zone Properties