View Rule

This regulation provides rules under new 1400Z-2 of the Internal Revenue Code relating to how qualified opportunity funds will invest  the amount of their investors’ deferred gains into qualified opportunity zone property and qualified opportunity zone businesses. Specifically, the proposed regulation addresses what types of property qualify as qualified opportunity zone business property, and the steps a qualified opportunity zone business must take to be a QOZB.  Further, this regulation provides guidance on the penalty imposed for failure to meet the investment standard required by 1400Z-2(d).  This regulation applies to qualified opportunity funds, and taxpayers who invest in such funds.  These proposed regulations provide reporting requirements for QOFs when an investor divests from the QOF.