WHAT ARE OPPORTUNITY ZONES?
Opportunity Zones are a good deal all around, helping to inject local communities with strategic development investment while allowing taxpayer-investors to enjoy significant tax advantages. With this federal program, taxpayers may invest unrealized capital gains into Qualified Opportunity Funds; the Funds in turn invest in designated Opportunity Zones comprised of census tracts where it has been deemed that long-term investment in community development is needed.
Benefits
- On-going tax advantages: For investors, advantages are immediate and continue to accrue over the life of the investment.
- A tax deferral on gains until the sale or exchange of the investment or until December 31, 2026, whichever is earlier.
- A graduated reduction in taxes:
- An 10% step-up in basis on the deferred gains if the Fund investment is held for 5 years or longer.
- Up to 15% reduction in taxes if the investment is held at least 7 years.
- Zero capital gains on the appreciation if the investor holds the investment for at least 10 years.
Investing in the Southern Carolina Opportunity Zones
Zones that mean more: The Opportunity Zones in the Southern Carolina Alliance have high ingrained value, thanks to the assets that our respective communities bring to bear on any investment project. We are a particularly attractive environment for manufacturing investment, offering a skilled workforce that’s helped make us a go-to location for aerospace, automotive, advanced composites, forest products and more. Also, costs in labor and costs of living are highly affordable, and the business climate is superb. Dozens of internationally recognized companies are flourishing here, drawn by advantages that include excellent global access.
In short, Southern Carolina’s Opportunity Zones are far more than tax havens. They offer superior opportunity for truly meaningful and rewarding investment, turning a good deal all around into a great deal for all involved.