Opportunity Zone Tax Incentive Program

A federal tax incentive program established through the Tax Cuts and Jobs Act of 2017 to revitalize and create jobs in designated areas through private investment.

Geographic Scope: Two federally designated Opportunity Zones in Warrensburg, Missouri:

• Opportunity Zone NW (northwestern Warrensburg)
• Opportunity Zone SW (southwestern Warrensburg)
• Encompasses much of the western side of the City limits

Program Duration: 10 years from official designation (designated in 2018)

Tax Incentives Offered:

• Temporary deferral of capital gains taxes
• Step up in basis on invested capital
• Permanent exclusion of gains from Opportunity Zone Fund investments

Financial Benefit Example:
Investors will be approximately $44 better off for every $100 of capital gains rolled into an Opportunity Fund (as of 2018 example through 2028).

Eligible Investments:

• Through Qualified Opportunity Funds
• Private investments and new development
• Property within the designated zones

Combinable Incentives:
Opportunity Zone benefits may be layered with:

• Small Business Administration HUBZones
• New Market Tax Credit Program
• Johnson County Enhanced Enterprise Zone (EEZ) benefits (where available)

Contact Information:

• Johnson County Economic Development Corporation (JCEDC)
• Phone: (660) 747-0244
• Email: info@growjocomo.com
• Website: www.growjocomo.com
• City of Warrensburg: (660) 747-9131
• Website: www.warrensburg-mo.com
• Opportunity Zone Website: www.opportunitywarrensburg.com

How to Participate

General Process:

1. Identify investment opportunities within the designated Opportunity Zones
2. Establish a Qualified Opportunity Fund
3. Roll capital gains into the Fund
4. The Fund invests in Zone property and projects
5. Tax benefits apply based on timing and structure

Resources Available:

• Website: www.opportunitywarrensburg.com provides:
  • Explanation of the program
  • Maps with zone boundary details
  • Available buildings and sites
  • Incentives and financing information
  • Facts and data
  • Important contact information

For More Information:

• Contact JCEDC at (660) 747-0244
• Visit www.growjocomo.com
• Contact City of Warrensburg at (660) 747-9131
• Visit www.warrensburg-mo.com

Note: Specific rules and regulations were still being established by the U.S. Department of Treasury as of the 2018 announcement.