Do you have substantial capital gains looking for rescue from the taxman?

If you want to defer taxes on your capital gains, you should take a look at investing in qualified opportunity funds—these are businesses that invest in qualified opportunity zones.

Although some of the tax benefits of qualified opportunity funds are no longer available for new investors, the remaining benefits can provide significant tax deferral and tax reduction for all types of capital gains.

What Are Qualified Opportunity Zones?

The qualified opportunity zone program was created by the Tax Cuts and Jobs Act back in 2018 to spur investment in low-income communities.1

The government designed 8,764 census tracts in all 50 states, the District of Columbia and five U.S. territories as qualified opportunity zones.2 (A “census tract” is a statistical subdivision of a county; it generally has a population of between 1,200 and 8,000 people.) Qualified opportunity zones are mostly in economically distressed areas with at least a 20 percent poverty rate.

But up to 5 percent of qualified opportunity zones need not be low-income.3 Nearly 200 qualified opportunity zones are ... Log in to view full article.