Title: Growth and Opportunities Act of 2021
Policy area: Taxation

Summary:
Growth and Opportunities Act of 2021
This bill permits qualified opportunity zones to be designated every 10 years. A qualified opportunity zone is an economically distressed or low-income area in which tax incentives are available to promote investment. Under current law, the existing zone designations expire after 10 years, and no additional designations are allowed.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4608 Introduced in House (IH)]

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117th CONGRESS
  1st Session
                                H. R. 4608

 To amend the Internal Revenue Code of 1986 to provide for designation 
             of qualified opportunity zones every 10 years.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 21, 2021

   Mrs. Steel (for herself, Ms. Salazar, Mr. Owens, and Mr. Gimenez) 
 introduced the following bill; which was referred to the Committee on 
                             Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to provide for designation 
             of qualified opportunity zones every 10 years.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Growth and Opportunities Act of 
2021''.

SEC. 2. DESIGNATION OF QUALIFIED OPPORTUNITY ZONES EVERY 10 YEARS.

    (a) In General.--Section 1400Z-1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new subsection:
    ``(g) Designation of Zones Every 10 Years.--
            ``(1) Second round of designations.--Concurrently with the 
        application of the provisions of this section without regard to 
        this subsection, as of January 1, 2027, the provisions of this 
        section shall be reapplied--
                    ``(A) as though such provisions were enacted on 
                such date, and
                    ``(B) by substituting such date for--
                            ``(i) `the date of the enactment of Public 
                        Law 115-97' in subsection (b)(3), and
                            ``(ii) `the date of the enactment of the 
                        Tax Cuts and Jobs Act' in subsection (c)(2)(B).
            ``(2) Subsequent rounds of designations.--Paragraph (1) 
        shall be reapplied as of the first date that no designation of 
        a qualified opportunity zone from the preceding round of 
        designations remains in effect by reason of the application of 
        subsection (f) to such round of designations.
            ``(3) Redesignations permitted.--Nothing in this subsection 
        shall be construed to prevent the designation of a tract as a 
        qualified opportunity zone merely because such tract was 
        previously designated as such a zone if such tract otherwise 
        meets the requirements for such designation as of the time of 
        such subsequent designation.''.
    (b) Application Rules for Investment in Opportunity Zones.--Section 
1400Z-2 of such Code is amended by adding at the end the following new 
subsection:
    ``(g) Application for Gains in Subsequent Rounds of Designations.--
            ``(1) In general.--In the case of gain from the sale or 
        exchange of property after December 31, 2026--
                    ``(A) the taxpayer may make an election under 
                subsection (a) with respect to such sale or exchange, 
                and
                    ``(B) subsections (a)(2)(B) and (b)(1)(B) shall be 
                applied by substituting `the applicable date' for 
                `December 31, 2026'.
            ``(2) Applicable date.--For purposes of paragraph (1), the 
        applicable date with respect to any sale or exchange shall be--
                    ``(A) December 31, 2034, or
                    ``(B) in the case of any sale or exchange after the 
                most recently past date determined under this 
                paragraph, the December 31 of the seventh year 
                beginning after each instance paragraph (1) of section 
                1400Z-1(g) is reapplied by reason of paragraph (2) 
                thereof.''.
    (c) Effective Date.--The amendment made by this section shall take 
effect on the date of the enactment of this Act.
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