Jackson, Miss. (April. 9, 2018) – The U.S. Department of Treasury and the Internal Revenue Service have designated 100 Mississippi communities as Qualified Opportunity Zones to spur economic growth in the state.
Opportunity Zone designations encourage long-term investments in low-income and rural communities through Qualified Opportunity Funds. Private investors can earn tax relief through investments made in a designated Opportunity Zone. Tax benefits increase the longer investments are in place. This new community development program was established through the Tax Cuts and Jobs Act of 2017.
“Opportunity Zones in Mississippi will attract significant private sector investment, help grow our state’s economy and create new jobs,” said Gov. Phil Bryant. “This program is another business advantage existing industries and new companies will find in our state.”
“Today is a good day for Mississippi after the state’s leadership officially announced their nominated Opportunity Zones,” said South Carolina Senator Tim Scott. “This means communities across the state will see the potential of a brighter future due to a more prosperous economy, an increase of jobs, and a renaissance of countless neighborhoods. I want to thank Gov. Bryant and his team for their hard work throughout this initial phase and I can’t wait to see the great things in store for so many hardworking Mississippians living in some of our nation’s high-potential areas.”
Tracts with a poverty rate of 20 percent or greater, and/or family income of less than 80 percent of the area’s median income were eligible for consideration. Each state could nominate a minimum of 25 eligible census tracts, but no more than 25 percent of the number of eligible tracts within a state. Mississippi has 399 eligible census tracts. Gov. Bryant submitted 100 census tracts for consideration of Opportunity Zone designation.
“Global companies know the advantages of the state’s productive workforce coupled with our superior business climate,” said Mississippi Development Authority Executive Director Glenn McCullough, Jr. “By adding Qualified Opportunity Zones, investing in Mississippi becomes an even more logical business decision for companies looking to locate or expand in our state.”
Opportunity Zone designations remain in effect for 10 years.
Treasury and the IRS plan to issue additional information regarding Qualified Opportunity Funds.
For a map of designated Opportunity Zones in Mississippi, please click here. For additional information on Opportunity Zones, please go to https://www.cdfifund.gov/Pages/Opportunity-Zones.aspx.