The recently passed U.S. Tax Cut and Jobs Act of 2017 created the Opportunity Zone Program to provide incentives for investment in low income communities throughout the country. An Opportunity Zone is a designated geographic area, in which individuals can gain favorable tax treatment on their capital gains, by investing those funds (through a privately-created Opportunity Fund) into economic activities in the area. The Governor of each state is able to nominate up to 25 percent of its low income census tracts (LICs) to be designated as Opportunity Zones.
Please use the attached application Word worksheet to prepare your answers before inserting them in the form. Based on the applicable census data, Massachusetts has 550 eligible census tracts, and the Commonwealth may nominate up to 138 tracts for approval by the U.S. Treasury Department. While the program is a tool for development and growth, it is important to note that the designation itself does not bring any guarantee of funding to a zone.