Young Joins Colleagues in Asking Treasury to Provide Relief for Opportunity Zones in the Wake of Coronavirus
Zones will help lead recovery in low-income communities
WASHINGTON – The 2008 financial crisis showed the entire country that low-income communities are often the first hit and last to recover during times of economic instability. Fortunately, as the United States begins to reopen due to the coronavirus pandemic, there is a new tool to help the most economically distressed communities: Opportunity Zones. U.S. Senator Todd Young (R-Ind.) and Tim Scott (R-S.C.) joined Senate colleagues in asking the U.S. Department of the Treasury and the Internal Revenue Service (IRS) to modify certain rules of the road for businesses and investors in Opportunity Zones to ensure the strongest possible path forward in the coronavirus economic recovery.
“In order for our nation’s Opportunity Zones to reach their full potential, it is critical that we provide the necessary flexibility to these entrepreneurs, community-based organizations, developers, and investors to cope with this pandemic and not wrongfully punish Opportunity Zone businesses and funds alike simply because of the obstacles COVID-19 has created. Relief focused on giving stakeholders, projects, and businesses additional time and flexibility to meet Opportunity Zone requirements, timelines, and thresholds will enable Opportunity Zone businesses to weather the storm and be part of the robust post-COVID economic recovery,” the Senators wrote.
The Senators made 10 specific requests regarding the significant impacts that the coronavirus pandemic will have on Opportunity Zone businesses, as well as the community organizations, entrepreneurs and developers working to use this incentive to foster positive change in our nation’s most distressed zip codes.
Senators Young and Scott were joined by Senators Pat Roberts (R-Kan.), Bill Cassidy (R-La.), James Lankford (R-Okla.), Steve Daines (R-Mont.), Ben Sasse (R-Nev.), Marsha Blackburn (R-Tenn.), and Martha McSally (R-Ariz.). A PDF of the letter can be found here.
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