Qualified Opportunity Zones (QOZs) were created by the Tax Cuts and Jobs Act of 2017. They provide tax incentives for investors to reinvest capital gains into designated low-income communities. The original deadline for deferring capital gains using QOZ funds was December 31, 2024.
The Secure Act 2.0, passed in 2022, extended the deadline for deferring capital gains to December 31, 2026.
There has been ongoing debate in Congress about whether this deadline will be extended further https://www.congress.gov/bill/118th-congress/house-bill/5761
Resolution Criteria:
The resolution of this market will be determined based on the passage and enactment into law of US federal legislation that extends the deadline for deferring capital gains using qualified opportunity zone funds beyond 12/31/2026.
Update 2025-05-14 (PST) (AI summary of creator comment): The creator clarifies that for a YES resolution, the deadline for deferring capital gains under the current QOZ program (established by the Tax Cuts and Jobs Act of 2017 and extended by Secure Act 2.0) must be extended beyond December 31, 2026.
If new legislation introduces a new, separate QOZ program or round of deferrals (e.g., for investments made starting in 2027) but deferrals on current investments (under the existing program) still end by December 31, 2026, this market will resolve NO.
1,000
3.00Current proposed legislation in committee in the House would create a new round of opportunity fund deferrals starting in 2027. Since deferrals on current investments would still end on December 31 2026 I would resolve NO if it passed as is.
https://x.com/jimmyatkinson/status/1922045355870302401?t=YXp380LrS0q6sLFo9xbwQw&s=19