Opportunity Zones: Investments That Mean More

Co-authored by South Carolina Senator Tim Scott, the 2017 federal Opportunity Zone legislation was designed to bring a new power of investment to community development. The $314 million Agriculture Technology Campus (ATC) in Hampton County, one of the largest Opportunity Zone projects n the nation, provides an excellent example. A collaborative project of agribusiness leaders and a qualified Opportunity Zone Fund, the ATC will include greenhouses for locally grown, pesticide-free produce; co-packing facilities and a 150,000-square-foot distribution center; it is expected to create more than 1,500 jobs by 2025.

How do Opportunity Zones work?

Qualified Opportunity Zone Funds + Designated Opportunity Zones.

  1. Taxpayers invest unrealized capital gains in a Qualified Opportunity Zone Fund.
  2. The Qualified Fund invests in a Designated Opportunity Zone, which is a census tract where long-term community development is deemed necessary.

 
Investor Advantages:

Tax deferral on capital gains

until the sale or exchange of the investment or until December 31, 2026, whichever is earlier

A 10% step-up in basis

in the deferred gains if the Fund investment is held for 5 years or longer

Tax deferral on capital gains

until the sale or exchange of the investment or until December 31, 2026, whichever is earlier

A 10% step-up in basis

in the deferred gains if the Fund investment is held for 5 years or longer

Up to 15% reduction in taxes

if the investment is held at least 7 years

Zero capital gains on the appreciation

if the investor holds the investment for at least 10 years

Up to 15% reduction in taxes

if the investment is held at least 7 years

Zero capital gains on the appreciation

if the investor holds the investment for at least 10 years

Opportunity Zones Map

Discover more opportunity in our Opportunity Zones:

9

Designated Opportunity Zones

Highly diversified

opportunities across multiple sectors

Rapid global access

Port of Charleston
Port of Savannah

9

Designated Opportunity Zones

Highly diversified

opportunities across multiple sectors

Rapid global access

Port of Charleston
Port of Savannah

1-day drive

Two-thirds of the U.S. population

Custom-built skills

readySCTM
Apprenticeship CarolinaTM
2 Technical Colleges

2.3%

Unionization rate, the lowest in the nation, in a right-to-work state

1-day drive

Two-thirds of the U.S. population

Custom-built skills

readySCTM
Apprenticeship CarolinaTM
2 Technical Colleges

2.3%

Unionization rate, the lowest in the nation, in a right-to-work state

 
Southern Carolina’s Opportunity Zones are far more than tax havens. They offer superior opportunity for meaningful and rewarding investment.