How Sen. Tim Scott envisioned Opportunity Zones working for low-income communities
“About six months later, developers, investors, local governments and residents of the low-income tracts selected by Gov. Henry McMaster are still asking the question: ‘How exactly will this all work?’ A few things are clear. The tax breaks are specific to ‘capital gains,’ a form of revenue from real estate deals or stock transactions. For example, someone who bought $10,000 of stock in a company, and later sold it for $15,000, would have a $5,000 capital gain. The same could be true, on a much larger scale, for a real estate development company that sold a shopping center or apartment complex.”