FOR IMMEDIATE RELEASE
Nov. 22, 2019
AFR Cheers Introduction of Legislation Eliminating Opportunity Zone Tax Giveaway
Today, Rep. Rashida Tlaib (D-Mich.) introduced groundbreaking and essential legislation to repeal the deeply flawed Opportunity Zone tax break passed as part of the 2017 tax cut legislation. In addition to the basic problems with this tax break for the wealthy, multiple media exposés have already found that the rules have been bent to include parcels that benefitted high-rolling real estate investors, including those with ties to the Trump administration.
“The Opportunity Zone policy was promoted to incentivize investment in economically disadvantaged areas, but the misguided tax cut will benefit real estate tycoons, private equity funds and other wealthy investors, while threatening to worsen the affordable housing crisis and displace residents of color and lower and moderate income residents in designated neighborhoods,” said Patrick Woodall, senior researcher at Americans for Financial Reform. “Previous tax-cut-based programs failed to provide jobs or reduce poverty, but they did contribute to higher housing costs and the dislocation of existing residents.”
Rep. Tlaib’s proposed repeal of the Opportunity Zone tax cut would eliminate what has already become a gentrification tax giveaway favoring the richest real estate speculators while worsening the affordable housing crisis.