Program encourages investment in 'distressed' MO, KS neighborhoods
8:34 PM, Apr 23, 2018
10:25 PM, Apr 23, 2018
KANSAS CITY, Mo. — Neighborhoods on both sides of the state line could soon qualify for federal tax incentives.
The program is a part of the nationwide Opportunity Zone program, created as part of the tax reform passed by Congress last year.
Its goal is to spur investment in "distressed communities"-- offering new real estate and business development.
Missouri nominated 165 "opportunity zones," including areas is Jackson and Clay counties.
Image courtesy of Missouri Department of Economic Development
Across the state line, Kansas nominated 74 low-income areas.
According to the Kansas Department of Commerce, the department accepted letters of interest from communities to have their low-income census tracts dedicated. Gov. Jeff Colyer nominated at least one Opportunity Zone from every community that submitted a letter of interest.
Under the program, people can receive favorable tax treatment if they invest their capital gains into approved 'opportunity funds.' Those funds would be dedicated to investing in real estate or business projects in the opportunity zones.
All nominations still need to be approved by U.S. Department of Treasury.