Federal Opportunity Zones

The Federal Qualified Opportunity Zone distinction was created by The Tax Cuts and Jobs Act to spur economic growth in low-income communities by allowing investors to defer federal taxes by taking capital gains from other investments and investing in these designated areas. The U.S. Department of the Treasury and the Internal Revenue Service (IRS) have now designated more than 8,700 Federal Opportunity Zones in 50 States, the District of Columbia, and five U.S. territories.

Sandersville and Washinton County are among the 260 designated Federal Opportunity Zones in Georgia pproved by the U.S. Treasury.  Each State was given the authority to designate up to 25% of their low income census tracts as qualified opportunity zones.  Georgia selected their qualified opportunity zones based on the higher poverty levels of the low income census tracts.   Of the 260 Federal Opportunity Zones, 60% are rural and 40% are metro.   

A Federal Opportunity Zone is an economically-distressed community where new investments, under certain conditions, may be eligible for preferential tax treatment.  Localities qualify as Federal 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.  Designated Federal Opportunity Zones may not be added or altered at this time.

A Federal Qualified Opportunity Fund is an investment vehicle that is set up as either a partnership or corporation for investing in eligible property that is located in a Federal Opportunity Zone and that utilizes the investor’s gains from a prior investment for funding the Federal Opportunity Fund.

Learn More About Federal Opportunity Zones