Tuesday, January 18, 2022

Senate Finance Committee to Investigate Opportunity Zones

Senator Wyden, chair of the Senate Finance Committee, announced recently that the committee would begin an investigation into Opportunity Zones. The announcement begins:

"Senate Finance Committee Chair Ron Wyden, D-Ore., today launched an investigation into the Opportunity Zone Program and whether it has delivered on Republican promises to create jobs and drive investment in low-income communities, rather than just create a loophole for wealthy investors to avoid paying taxes.

In letters to SkyBridge CapitalBaker Tilly US, LLPCresset Partners, LLCHatteras SkyPTM Partners, LLCRelated GroupShopoff Realty Investments, Wyden wrote, “I have long been concerned that the Opportunity Zone program may permit wealthy investors another opportunity to avoid billions of dollars in taxes without meaningfully benefitting the distressed communities the program was intended to help. A report released by the Government Accountability Office (GAO) heightened my concern about the effects of the Opportunity Zone program. The GAO report notes that representatives of several Opportunity Funds indicated that they would have proceeded with projects in what are now designated zones without the tax incentives provided by the Opportunity Zone program…Currently, there are no safeguards or transparency measures in place to ensure taxpayers are not simply subsidizing high-end real estate investments by billionaires without demonstrating the benefit they are providing to low income-communities they claim to help.”

https://lawprofessors.typepad.com/nonprofit/2022/01/senate-finance-committee-to-investigate-opportunity-zones.html

Current Affairs, Federal – Legislative, In the News | Permalink

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