Learn about our Opportunity Zones here!

101 W. Water Street Edenton NC 27932

What are Opportunity Zones?

Opportunity Zone Map

More and more companies and entrepreneurs are discovering that Chowan County is a great place to conduct business!

What they find here is a lower-than-national-average cost of living, a supportive local government, an already thriving economy, and an array of incentives to help businesses grow and succeed. 

One of those incentives is the designation of Opportunity Zones throughout Chowan County. 

In recent years, Opportunity Zones have been a hot topic in economic development circles. But what exactly are Opportunity Zones, and what do they mean for companies and businesses in Chowan County?

Opportunity Zones are a new community development program established by Congress in 2017 as a part of the Tax Cuts and Jobs Act. 

The goal of this program is to encourage long-term investment in low-income urban and rural communities by providing tax incentives to investors who re-invest their capital gains into Opportunity Funds.

The purpose is to stimulate economic development and job creation in communities that have been historically underserved or overlooked. 

These zones are designated by state governors and certified by the U.S. Department of the Treasury.

A major portion of Chowan County has been declared a federal Opportunity Zone available and ready for use.

When you invest in our community with one of these important zones, you reap several benefits!

So, how do Opportunity Zones work? 

Investors who have capital gains can invest those gains in Opportunity Zone Funds, which are specifically set up to invest in projects located within Opportunity Zones. 

By investing in these funds, investors can defer paying capital gains taxes until 2026, and potentially reduce the amount of taxes they owe. 

Additionally, if the investment is held for at least 10 years, any capital gains from that investment are completely tax-free.

But why is this program important for communities? 

Opportunity Zones are meant to attract investment to areas that are in need of revitalization, such as low-income neighborhoods or rural communities. 

By incentivizing investors to put their money into these projects, the hope is that new businesses will be created, jobs will be generated, and the overall quality of life in these communities will improve.

Here in Chowan County, we’ve seen the successful partnership between businesses and the community create a thriving economy and improve the quality of life for everyone. 

How does taking advantage of an Opportunity Zone in Chowan County help your business?

This 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. 

By investing in any of the census tracts in Chowan County that qualify as Certified Opportunity Zones, your business has the potential to benefit in three significant ways:

  • Temporary tax deferral for capital gains reinvested in a Qualified Opportunity Fund and maintained for a minimum of five years;
  • Additional tax incentives for investments held for a period of seven years and ten years;
  • Permanent exclusion from taxable income of long-term capital gains. 

Overall, Opportunity Zones have the potential to be a powerful tool for economic development of both Chowan County and your business. 

If you would like more information on Opportunity Zones in Chowan County and what this type of investment could mean for your company or business, simply contact the Edenton Chowan Partnership. 

We’re here to help you start and grow a thriving business in Chowan County! 

We can help you access resources designed to help your business succeed over the short and long term.

More Articles to read