H.R. 3687 would change federal tax rules for opportunity zones, areas selected for investment. It would create a new round of zone designations for 2027 through 2033. State leaders would nominate areas, and the Treasury Secretary would choose them. Each state could have up to 25% of its eligible low-income communities designated, with a required share for rural areas. The bill would also offer different tax benefits for some investments in rural zones and require funds to report information about their investments, properties, and jobs. The Treasury Department would publish yearly reports. The bill was introduced on June 3, 2025, and referred to the House Ways and Means Committee; it has not been enacted.
If enacted, the changes could affect investors and businesses using opportunity zone funds, as well as communities selected for the new zones. Funds would have to report information about investments and business activity. The bill does not specify which communities would be selected or what results they would see.
The bill does not provide an estimate of its overall cost or effect on federal tax revenue. It would require annual reporting by opportunity zone funds and information from certain businesses. Funds that fail to file complete and correct returns could face penalties.
No publicly available information.
No publicly available information.