An Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment. Localities qualify as Opportunity Zones if they have been nominated for that designation by the state and that nomination has been certified by the Secretary of the U.S. Treasury via his delegation of authority to the Internal Revenue Service.
Opportunity Zones are designed to spur economic development by providing tax benefits to investors. First, investors can defer tax on any prior gains invested in a Qualified Opportunity Fund (QOF) until the earlier of the date on which the investment in a QOF is sold or exchanged, or December 31, 2026. If the QOF investment is held for longer than 5 years, there is a 10% exclusion of the deferred gain. If held for more than 7 years, the 10% becomes 15%. Second, if the investor holds the investment in the Opportunity Fund for at least ten years, the investor is eligible for an increase in basis of the QOF investment equal to its fair market value on the date that the QOF investment is sold or exchanged.
Noble Realty Investment and Development Consortium has created a Qualified Opportunity Zone Fund to invest in projects that will benefit the targeted communities. Leveraging your investment, we are working with neighborhood leaders to identify and create projects that are necessary to help improve the lives of community members. While some funds appear to help the communities that they invest in, our fund actually does. If you are interested in investing in our fund or have questions, please reach out to us by clicking the “Invest in OZ Fund” button below.
Summary of Your Tax Benefits
