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101 W. Water Street Edenton NC 27932

About

Opportunities for Investing in Edenton and Chowan County

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Business here is good, and there’s opportunity for even more growth.

Edenton and Chowan County is a unique and special place. The downtown area is bustling with activity, and plenty of job opportunities are available. The cost of living and housing expenses are significantly lower than the state and national averages, making it an attractive place to settle down.

Opportunity Zone Map

Opportunity Zones

Our economy carries a rich heritage of stability, economic growth, and entrepreneurship. Our business landscape is a mosaic of different industries, including industrial and manufacturing sectors, healthcare services, agriculture, tourism, and so much more. This drives investment, encouraging business endeavors with a wealth of opportunities that spark growth, development, and success. In Edenton and Chowan County, we’re not just conducting business – we’re building dreams, shaping futures, and contributing to a robust and vibrant economy that benefits everyone.

Here in Edenton and Chowan County, a major portion of the county has been declared a federal Opportunity Zone available and ready for use. When you invest in our community with one of our opportunity zones, you reap several benefits.  Many census tracts outside of the downtown Edenton area in Chowan County qualify.

Three Benefits of Opportunity Zone Investment

Benefit #1

Temporary tax deferral for capital gains reinvested in an Opportunity Fund.

Benefit #2

Step-up in basis for capital gains reinvested in an Opportunity Fund.

Benefit #3

Permanent exclusion from taxable income of long-term capital gains.

Enabled by the Tax Cuts and Jobs Act of 2017,  Opportunity Zones are designed to encourage long-term investments in lower income areas of Chowan County.  The Opportunity Zones program provides federal tax incentives for qualified investors to re-invest unrealized capital gains into Opportunity Funds that are dedicated to investing in economically distressed areas.  

The Opportunity Zone Program provides deferral and reduction of capital gains taxes when the gains are reinvested in a Qualified Opportunity Fund and maintained for a minimum of 5 years.  

Additional tax incentives are available for investments held for periods of seven years and 10 years.  

The program is designed to be flexible and allow for different types of investments. Unlike other federal tax credit programs, there is no authorized cap on the amount of capital that can be made available through opportunity zone investments.

Tax Incentives for Investments in Opportunity Zones -many census tracts outside of the downtown area in Chowan County qualify. 

  • Investors defer paying tax on capital gains (9 years) if those gains are invested in Qualified Opportunity Funds that invest in Certified Opportunity Zones.
  • The gain must be invested in the Qualified Opportunity Fund during a 180-day period that begins on the date of the sale or exchange that generated the gain.
  • Deferral is temporary – the gain must be recognized on the earlier of Dec. 31, 2026, or the date the investment in
    the Opportunity Fund is sold or exchanged.
  • The amount of includable gain is the lesser of the gain originally deferred or the excess of the fair market value of
    the investment over the taxpayer’s basis in the investment.
  • Long-term investment is incentivized by allowing a modest step-up in basis for investments that are held beyond five
    (5) and seven (7) years.
  • For investment held at least five years, the taxpayer’s basis is increased by 10 percent of the original gain.
  • For investments held for at least seven years, the taxpayer’s basis is increased by 5 percent of the original gain.
  • As an additional incentive to make long-term, patient capital investments, taxpayers holding Opportunity Fund
    investments for at least 10 years are exempt from any additional gains beyond what was previously deferred.

Edenton and Chowan County Tax Information

Real Property Tax rates

Your Chowan County tax bill amount varies depending on where you live within the county. A rate code is assigned according to this information and it identifies the combination of taxes that make up your tax bill. Your bill may include:

  • County Taxes
  • Town Taxes
  • Fire District Taxes
  • Fees

The county rate is determined by the Board of Commissioners. The town rate is determined by the Town Governing Board.

TAX RATES IN EFFECT FOR THE 2023-2024 FISCAL YEAR

The rates on the chart above as rate per $100 dollar of value. These rates are for the 2023-2024 fiscal year and are updated each July. This information is deemed reliable but not guaranteed.

NORTH CAROLINA CORPORATE TAX RATE

The corporate tax rate is 2.5%

Looking for more information about tax rates?