Certain Census tracts in Florence, which incudes the downtown area, have been designated as qualifying “Opportunity Zones.” Opportunity Zones are a new community development program established by Congress as a part of the Tax Cuts and Jobs Act of 2017, they are designed to encourage long-term private investments in specific census tracts selected by the Governor. This program provides a federal tax incentive for taxpayers who reinvest unrealized capital gains into “Opportunity Funds,” which are specialized vehicles dedicated to investing in “Opportunity Zones.”
Please join us for a luncheon on Tuesday, May 15th at 12:00 p.m. in the Community Room of the Florence Chamber of Commerce, compliments of Florence Downtown Development, where Ben Johnson, Director of Research at the South Carolina Department of Commerce, will be presenting the details of the new Opportunity Zones.
Learn:
- How investors can roll existing capital gains into Opportunity Funds with no up-front tax bill.
- With a 5 year holding increases the rolled-over capital gains basis by 10%
- A 7 year holding increases the rolled-over capital gain investment basis 5% for a total of 15%
- Investors can defer their original tax bill until December 31, 2026 at the latest, or until they sell their Opportunity Fund investments, if earlier.
- Opportunity fund investments held in the fund for at least 10 years are not taxed for capital gains.
