PROTECTING SMALL BUSINESS, PROMOTING ENTREPRENEURSHIP

New Opportunity Zone Rules will Kick-Start Entrepreneurship, Says Small Business Advocate

By at 17 April, 2019, 9:51 pm

News

For Immediate Release

Washington, D.C. – It was a big day for Opportunity Zones on April 17. The White House hosted an Opportunity Zones conference, and the U.S. Treasury released proposed rules  that provide clarity for investors, entrepreneurs and economic development officials.  Small Business & Entrepreneurship Council (SBE Council) president & CEO Karen Kerrigan attended the conference, and commented that both the event and proposed rules will help to fuel the momentum and early success of Opportunity Zones.

In addition to scores of state and local government officials and business community representatives who attended the event, President Donald Trump, Treasury Secretary Steven Mnuchin, HUD Secretary Ben Carson, Council of Economics Chairman Kevin Hassett and National Economic Council Director Larry Kudlow spoke at the event.

Kerrigan said:

“At the conference today, Secretary Mnuchin said the biggest opportunity regarding Opportunity Zones ‘is for people to start businesses.’ The proposed rules pave the way for bold entrepreneurship and new businesses in Opportunity Zones. They clarify key issues to support diverse business models and types of businesses, offer flexibility, and are investor friendly. At the same time, the rules reinforce the important principle that long-term investment is critical to the success of these distressed areas.”

With over 8,700 designated opportunity zones across the U.S., the Treasury Department estimates that $100 billion in private capital will be invested in these areas – namely in new businesses and property improvements – as a result of the new tax incentive. The Opportunity Zone provision, included as part of the “Tax Cuts and Jobs Act” and signed into law in December 2017, allows investors to defer their liability on a capital gain if the realized gain is invested in businesses or to improve properties in the zones.

There is a 60-day comment period on the proposed rules.

Contact:

Karen Kerrigan

e-mail: kkerrigan@sbecouncil.org

SBE Council is nonpartisan advocacy, research and education organization dedicated to protecting small business and promoting entrepreneurship. For 25 years, SBE Council has worked on and advanced a range of private sector and public policy initiatives to strengthen the ecosystem for strong startup activity and small business growth. Visit www.sbecouncil.org for additional information. Twitter: @SBECouncil

###

 

News and Media Releases