Investors, flippers, landlords and real-estate developers, listen up! The opportunity of a lifetime – the one you’ve been waiting for – is here!
You have the chance to make a lot of money, and pay no capital gains tax on that money, if you invest in and improve certain select neighborhoods! And there are nearly 8,000 of these areas in the U.S., plus all of Puerto Rico.
Last December, the Tax Cuts and Jobs Act passed, with the promise of creating more jobs. Critics claimed it only benefitted the wealthy, and many have accused companies of buying back their own stock with the tax savings, instead of creating jobs.
But, deep within the tax reform lies Section 1400Z-2, a tax incentive that is a game changer, not only for investors, but also for lower income communities.
I am referring to “Qualified Opportunity Zone” tax incentive that is meant to direct capital to designated areas in the U.S. that are economically distressed.
The theory is that too much money is going into already developed areas. This tax break incentivizes investors to put their money toward improving lower income areas – and in so doing, receiving huge tax breaks after 10 years. In this show, CPA Ryan Schellhous will explain how it works.