IRC §1400Z-2 · QOF · Form 8997

Opportunity Zone Deferral

Roll a capital gain into a QOF, defer to 12/31/2026, hold 10 yrs for free QOF growth.

Capital gain amount

Gain realization date

QOF investment date

Expected hold period (years)

Capital gains rate at recognition

Projected QOF growth multiple

QOZ Picture · §1400Z-2

180-day deadline to invest

2025-02-11

Deferral recognition date

12/31/2026

Tax due on deferred gain (2026)

$100,000

5-year 10% bump

Expired

QOF value at exit (proj.)

$1,250,000

Tax on QOF growth (10-yr hold)

Under §1400Z-2(b)(2)(B), deferred gain is recognized 12/31/2026 (or earlier on QOF disposition). Hold QOF 10+ yrs = basis stepped to FMV on sale = zero tax on QOF appreciation per §1400Z-2(c).

Talk to a preparer about QOZ investing

5-yr 10% basis bump and 7-yr 15% bump per §1400Z-2(b)(2)(B) expired 12/31/2021 and 12/31/2019. Only deferral + 10-yr exclusion remain. Educational tool, not legal advice. Call 689-331-5723 or email info@zerofusstaxes.com.