On November 5, the U.S. Department of the Treasury and the Internal Revenue Service (IRS) announced the Qualified Opportunity Zone (QOZ) designations for the ten-year period beginning in calendar year 2027. In total, 6,576 census tracts across all 50 states, the District of Columbia and the territories were designated, of which 2,594 were located in rural areas.
The QOZ program is designed to encourage economic growth and job creation in economically distressed communities by offering tax incentives for investments in those areas. Unlike in the 2017 Tax Cuts and Jobs Act, the 2025 tax law made the program permanent, establishing redesignation every ten years and adding enhanced incentives for rural communities. The designations take effect January 1, 2027.
Read the full Treasury announcement and see the list and map of designated zones.
For more information on the QOZ designation process, read NADO’s blog HERE.