The IRS recently issued proposed regulations to address gains that may be deferred when taxpayers invest in a qualified opportunity fund (QOF). This is a great opportunity for clients to defer capital gains from sale of stocks and to spur investment in designated opportunity zones.
Click to open document in a browser the proposed regulation.
The proposed regulations also withdraw and replace placeholder provisions in an earlier set of proposed regulations. These concern:
The definition of “substantially all”Transactions that can trigger includible gainThe timing and amount of deferred gain […]