Business and community go hand in hand here in North Carolina, with countless examples of business leaders solving problems and giving back to those around them. Today, we’re pleased to share another avenue for supporting our communities. Using a relatively new investment approach, Qualified Opportunity Zones, businesses can help transform low-income and underserved communities throughout North Carolina.
Opportunity Zones were established as part of the Tax Cuts and Jobs Act passed by the U.S. Congress in December 2017. As a new economic development and tax incentive program, Opportunity Zones identify low-income census tracts where tax incentives may draw long-term investment to help revitalize the area. In exchange for certain types of investment, investors receive a temporary capital gains deferral and other tax benefits. Our friends at the Federal Reserve Bank of Richmond have put together an excellent guide with more specifics that you can read here.
Promoting Opportunity Zones and encouraging investment in urban, rural and distressed parts of the state is a top priority for the NC Chamber in 2019, so we’re excited to continue sharing news about how you can get involved. Here in North Carolina, there are 252 Opportunity Zones—at least one in every county. While many experts are still navigating through recently-released guidance from the Treasury and IRS, there are already 40 Opportunity Zone funds established in North Carolina. If you’re interested in learning more about how you can take advantage of North Carolina’s Opportunity Zones, please reach out to our Director of Government Affairs, Debra Derr.