Treasury, IRS create flexibility to position incentive for success.
By Christine Serlin | MFE
The Treasury Department and Internal Revenue Service (IRS) have issued the much-awaited second tranche of guidance for Opportunity Zones (OZs), the community development tool that came out of the 2017 Tax Cuts and Jobs Act aimed at spurring investment in low-income communities.
“We are hopeful that we have provided enough guidance that investors and communities can start deploying capital in OZs,” said Treasury secretary Steve Mnuchin at a White House conference on OZs on Wednesday. “Now is the time to make sure prosperity reaches as many communities as possible. OZs will play a key role in making sure this occurs.”
Mnuchin added that Treasury and IRS, working together, have tried to create as much flexibility for communities and investors so that the economic development incentive is positioned for success.
“With this second round of guidance on Opportunity Zones, the Treasury department is optimistic investors have the answers they need to move forward with their respective projects.”