Are You Looking to Maximize Your Return on Investment in a Business and/or Property Located in the City of Wichita?
Is Your Business or Property Located in a Qualified Opportunity Zone?
If so, there can be significant tax savings realized for investors with access to capital gains who are focused on business ownership and/or long-term real property ownership within one of the City of Wichita’s 5 Qualified Opportunity Zones!
If you or your investors have capital gains dollars available to deploy within one of Wichita’s Opportunity Zones, through the utilization of a Qualified Opportunity Fund (QOF), business and real estate investors can realize the following tax benefits:
Temporary deferral of taxes on previously earned capital gains. Opportunity Zone Investors can place existing assets with accumulated capital gains into Qualified Opportunity Funds. Those existing capital gains are not taxed until (at the earliest) the end of 2026 or when the asset is disposed of.
Basis step-up of previously earned capital gains invested. For capital gains placed in Qualified Opportunity Funds for at least 5 years, investors’ basis on the original investment increases by 10 percent. If invested for at least 7 years, investors’ basis on the original investment increases by 15 percent.
Permanent exclusion of taxable income on new gains. For investments held for at least 10 years, investors pay no taxes on any capital gains produced through their investment in Qualified Opportunity Funds.