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[null,"Opportunity zone (OZ) vs non-OZ analysis: Interactive calculator",null,null,null,null,null,null,null,null,null,null,null,null,null,null,{"$f":"+C12-D12","v":4.7936406917870045E-4},null,null,null,null,null,null,null,null,null,null,null,null,{"$f":"+C12-D12","v":4.7936406917870045E-4}]
[]
[null,null,"After-tax non-OZ investment","Qualified opportunity fund investment",null,"Instructions for use"]
[null,"Capital gain",{"$f":"D4","v":500000},500000,null,"1. Insert amount of capital gain in cell D4"]
[null,"  Initial capital gain tax",{"$f":"-C4*C17","v":-145775.00000000003},0,null,"2. Customize current capital gain rates in C14 & C15, and stress test future cap gain "]
[null,"  Initial investment",{"$f":"C4+C5","v":354225},{"$f":"D4+D5","v":500000},null,"     rates in cells D14 and D15"]
[null,"Average annual appreciation in value",0.19732693709871127,0.12,null,"3. Insert a rate of return for the OZ investment in cell D7 "]
[null,"  Gross proceeds at liquidation",{"$f":"FV(C7,10,0,-C6,1)","v":2144898.47954422},{"$f":"FV(D7,10,0,-D6,1)","v":1552924.1041721057},null,"4. Click \"Goal Seek\" button to solve for the rate needed on the non-OZ investment"]
[null,"  Total investment gains",{"$f":"C8-C6","v":1790673.47954422},{"$f":"D8-D6","v":1052924.1041721057},null,"     to end up with the same amount of after-tax cash after 10 years "]
[null,"Payment of deferred and reduced capital gains in 2026",0,{"$f":"-D4*D17*90%","v":-198697.49999999997}]
[null,"Second capital gains tax on liquidation ",{"$f":"-C9*D17","v":-790671.87489275029},0]
[null,"Net cash after taxes",{"$f":"C8+C11+C10","v":1354226.6046514697},{"$f":"D8+D11+D10","v":1354226.6041721057}]
[null,null,"Current Rate","Future Rate Assumption"]
[null,"Federal long-term capital gain",0.2,0.35]
[null,"Net investment income tax (if applicable)",3.7999999999999999E-2,3.7999999999999999E-2]
[null,"State capital gain (if applicable)",{"$f":"0.0765*0.7","v":5.3549999999999993E-2},{"$f":"0.0765*0.7","v":5.3549999999999993E-2}]
[null,"Tax rate",{"$f":"SUM(C14:C16)","v":0.29155000000000003},{"$f":"SUM(D14:D16)","v":0.44154999999999994}]
[]
[null,"The tool demonstrates the impact of OZ benefits, particularly the step-up benefit after holding the investment for 10 years, when making a reinvestment decision, and choosing between an option that includes OZ benefits and one that does not.  "]
[]
[null,"Assumptions"]
[null,"   * Source of investment is from a gain that qualifies for OZ benefits"]
[null,"   * Assumes that the new OZ investment is held for the required 10 years to qualify for all OZ benefits"]
[null,"   * User enters investment amount and current and future capital gains rate, as applicable to their situation and projected return on the OZ investment"]
[null,"   * Note that the deferred gain taxed in 2026 will be at the rates in effect at that time.  Future changes to the tax law could result in higher rates. This calculator enables you to assess the impact of various future \n      capital gain rates"]
[]
[null,"   * User correctly uses the goal seek function as instructed to solve for a non-OZ rate that returns that same amount of after-tax cash as the OZ investment"]
[]
[null,"Limitations"]
[null,"   * The calculation does not include the positive net present value benefit of deferring payment of the original capital gain until the 2026 tax return"]
[null,"   * The simplified model assumes a single investment and return of appreciated value after 10-years"]
[null,"   * The model uses the Excel Future Value (FV) function to calculate the value of each investment using a fixed rate entered by the User for the OZ Investment"]
[null,"   * The model does not account for other complex tax-basis matters such as depreciation and periodic cash distributions"]
[]
[null,"Disclaimers"]
[null,"   * Results will vary based on the assumptions entered by the the user"]
[null,"   * This is a simplified illustration comparing the different returns needed to generate equaivalent after-tax returns of an investment that qualifies for OZ benefits and one that does not."]
[null,"   * This calculator should not be used when assessing an actual investment given its limited functionality."]
[null,"IMPORTANT:  The projections or other information generated by this calculator regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results"]
[]
[null,"Tax advice, if any, contained in this communication was not intended or written to be used by any taxpayer for the purpose of avoiding penalties. "]