Announcement

Collapse
No announcement yet.

Big news RE: Opportunity Zone Investing

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • ThatOD
    replied
    Originally posted by ScopeMonkey View Post

    Sorry, but that's a terrible, biased example. It presumes a huge, likely unrealistic gain in these relatively new funds in depressed areas. Take away such a gain and the math doesn't work. None of these funds have run full cycle so you're speculating.
    Oh I definitely agree it's speculating. To be honest the deals I've done don't even provide upside, rather more a fixed cash flow kind of feel. Ultimately OZ's aren't for everyone. I'm a little alarmed when I see people offering 8x return on capital (yes I've seen those outrageous projections)

    Leave a comment:


  • ScopeMonkey
    replied
    Originally posted by ThatOD View Post
    Sorry, but that's a terrible, biased example. It presumes a huge, likely unrealistic gain in these relatively new funds in depressed areas. Take away such a gain and the math doesn't work. None of these funds have run full cycle so you're speculating.

    Leave a comment:


  • ThatOD
    replied
    Originally posted by ScopeMonkey View Post

    I'm considering investing in an OZ fund; how do you answer those that worry capital gains could be higher when assessed on these funds in 2026 and will incur a higher tax than paying now? Fairly big gamble, don't you think?
    This breaks it down pretty well: https://www.bakertilly.com/insights/...pital-gain-tax

    Leave a comment:


  • G
    replied
    Originally posted by ScopeMonkey View Post

    I'm considering investing in an OZ fund; how do you answer those that worry capital gains could be higher when assessed on these funds in 2026 and will incur a higher tax than paying now? Fairly big gamble, don't you think?
    Agreed. I also wasn't aware of the timeline, 10/19-10/20. I was able to TLH and I think hide most gains. However, I will have a couple sales coming this year that I wouldn't mind sheltering, especially if I can save some of last year's harvesting.

    Leave a comment:


  • ScopeMonkey
    replied
    Originally posted by ThatOD View Post
    Good news! The IRS just issued another extension for investing into Opportunity Zones! This is a great way to defer and reduce your capital gains taxes on the sale of stocks (or any capital gains), both short term and long term!Effectively, this means that for any gain recognized by an individual on or after October 4, 2019 and before October 2, 2020, there is no 180-day period but rather a single deadline of March 31, 2021. The deadline to invest in a Qualified Opportunity Fund for these taxpayers is now automatically extended to March 31, 2021.
    I'm considering investing in an OZ fund; how do you answer those that worry capital gains could be higher when assessed on these funds in 2026 and will incur a higher tax than paying now? Fairly big gamble, don't you think?

    Leave a comment:


  • ThatOD
    started a topic Big news RE: Opportunity Zone Investing

    Big news RE: Opportunity Zone Investing

    Good news! The IRS just issued another extension for investing into Opportunity Zones! This is a great way to defer and reduce your capital gains taxes on the sale of stocks (or any capital gains), both short term and long term!Effectively, this means that for any gain recognized by an individual on or after October 4, 2019 and before October 2, 2020, there is no 180-day period but rather a single deadline of March 31, 2021. The deadline to invest in a Qualified Opportunity Fund for these taxpayers is now automatically extended to March 31, 2021.
    Taxpayers who recognized a gain in 2019 may now have until March 31, 2021 to invest in a Qualified Opportunity Fund, according to a new notice issued by the IRS. On the evening of January 19, IRS issued Notice 2021-10, which automatically extends several deadlines that had previously been extended under Notice 2020-39 issued on ... Read more
Working...
X