Video Tips: Qualified Opportunity Zone Investments After 2026
The OBBBA introduces a rolling five-year deferral period for investments made on or after January 1, 2027. Instead of a fixed deadline, deferred gain is recognized on the fifth anniversary of the investment date. Additionally, these new rules restore the 10% basis step-up for everyone who holds their investment for five years.
For taxpayers sitting on significant capital gains in 2026, the strategy for when to sell and reinvest in qualified opportunity zones (QOZs) has shifted dramatically. Under the new OBBBA rules, waiting until 2027 to reinvest can unlock far superior benefits compared to the original QOZ program framework.
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