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Presented By: Brian B Shull, Peirce Macgill - Harrisonburg Economic Development
Recommendation and Review
Opportunity Zones, or OZs, are census tracts where federal tax incentives may accrue to those who invest and hold their capital gains in Qualified Opportunity Funds that invest in the OZs. This is a new federal economic development tool designed to help jumpstart investment within these OZs. Harrisonburg has two approved zones - the northeast section of the City and a southern section between Route 11 and US Route 42. Individuals who invest their capital gains from a sale or exchange into an OZ for at least ten years can qualify for permanent exclusion from taxable income on those capital gains. As you can imagine, this has generated a lot of interest in the investment community.
Harrisonburg Economic Development has prepared a prospectus to educate the development and investment sectors of OZ opportunities in Harrisonburg. This will be shared with Harrisonburg City Council on March 12.