In our community, we value the businesses and industries that sustain our city. Propelled by the Tax Cuts and Jobs Act of 2017, American Fork has had the opportunity to become a part of Utah’s “Opportunity Zone” development project. Together, the Utah Department of Workforce Services and the Governor’s Office of Economic Development have implemented 46 “zones” as areas for supporting economic growth. What does this mean for businesses? The project creates three main incentives for business investors.
- First, this project provides a way for investors to put unrealized gains in a set apart “opportunity fund.” This fund then allows for the deferral of taxes on capital gains until 2026.
- Second, the fund allows a tax exemption on any capital gains investments, provided that the investments are held for 10 or more years.
- Third, deferred taxes are reduced by 10 percent after five years, with an additional five percent reduction — if the opportunity fund is held for seven years.
If you have questions about opportunity zones in American Fork, Utah, contact American Fork City at 801-756-5110 today! We also invite you to learn about how this project will affect development throughout Utah; find out more from our partners at the Utah Governor’s Office of Economic Development by following the link below.