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The Opportunity Zone , continued from page 13 Boon for Residential Neighborhoods? Residential specialists may fi nd an opportunity zone designation to be a potent business development tool. That’s because homes in an opportunity zone, even diffi cult-to-sell homes, may become more marketable, drawing buyers who otherwise might not have paid attention. “Opportunity funds are scouring for properties, so if you’re list- ing a property in an opportunity zone, it presents an attractive benefi t,” said Veronica Malolos, with NAI Realvest. An Attractive Proposition Still, by and large, the OZ program is poised to transform communities across America that have long been shunned by investors. The generous tax incentives that underpin the program make it possible for investors to come out ahead even if an investment yields a lower 5 return than one in a more economically vibrant area. Instant e-Gift Certificates Always Available of Give the Gift Hawaiian Bliss Pono W ellness S pa G ift Card d r a C Gift Spa Pono Wellness | Sauna Massage | Soak Massage | Soak | Sauna Entering the Zone Anyone who generates profi ts from the sale of capital assets like stock in a company or real estate can partici- pate in the program. You just need to invest those profi ts—within 180 days of realizing the gain—in a qualifi ed opportunity fund, defi ned as an invest- ment vehicle formed expressly to acquire and improve property located in any of the certifi ed zones around the country. Unlike 1031 exchanges, funds intended for investment in an opportuni- ty zone don’t need to be kept separate by an intermediary. Investors simply have to file Form 8949 with their income taxes to report the investment to the IRS. That said, the rules for these investments are complex and have not yet been finalized by the government. It’s advisable to seek professional guidance before proceeding. You can find a directory of opportunity funds at the National Council of State Housing Agencies website at ncsha.org, and you can learn more about opportu- nity zones at irs.gov/newsroom/opportu- nity-zones-frequently-asked-questions. Proudly Employee Owned The direct relationship between work, ownership, and community involvement fuels a strong commitment to customer satisfaction. Luxury Packages This Year Give Luxury - Pono Experiences for Individuals or Couples Massage, Soak and Sauna The ultimate pampering experience. Enjoy a 20 minute soak, 60, 90 or 120 minute massage and an infrared sauna session. Book online or purchase instant e-gift certificates at www.PonoWellnessSpa.com | 408.612.8835 35 E First Street, Suite A | Morgan Hill, CA 95037 GILROY • MORGAN HILL • SAN MARTIN june/july 2019 1351 Pacheco Pass Hwy Gilroy, CA 95020 408-842-3358 recology.com RecologySouthValley-ad.indd gmhtoday.com 1 81 5/6/2019 11:14:42 AM