Dr. Friday discusses opportunity zones as another way to defer capital gains. She notes timing rules and longer holding periods can be key to the tax outcome.
Transcript
G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment.
Sometimes we’re just looking for good ways to save money, and one way to do that is opportunity zones.
They continue to have favorable tax treatment for investors who reinvest capital gains into what we call QOFs, or qualified opportunity funds, within required time windows.
A lot of times you have to do it for the long term, five to ten years. There are different rules, but instead of doing a 1031 exchange, you might want to look into an opportunity zone.
That may be another way for you to defer capital gains and potentially reduce taxes in the future. If you need help, go to drfriday.com.
You can catch the Dr. Friday Call-in Show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.