Why is investing in an Opportunity Zone better than a 1031 Exchange?
Temporary Deferral: Similar to a 1031 Exchange.
Step-up in Basis: After 5 years capital gains basis is increased by 10% and by an additional 5% if held for at least 7 years, thereby excluding up to 15% of the original gain from taxation.
Permanent Exclusion: After 10 years the capital gains are permanently excluded from taxable income.
Visit the Opportunity Zone page for more information.
ref 102820 wm, ref 011221 jc