Specifications include, but are not limited to: The City of Lynnwood has received an Opportunity Zone (OZ) designation for the South Lynnwood / City Center area. The OZ program, created by the 2017 Tax Cuts and Jobs Act, is intended to spur long term private investment in low-income communities by providing a tax incentive for investors to re-invest their unrealized capital gains into Opportunity Funds that are dedicated to investing into OZs. The potential benefits of OZs are significant, and it is anticipated that this program will generate a great deal of investment. 1. A temporary deferral of inclusion in taxable income for capital gains reinvested in an Opportunity Fund. The deferred gain must be recognized on the earlier of the date on which the opportunity zone investment is disposed of or December 31, 2026. 2. A step-up in basis for capital gains reinvested in an Opportunity Fund. The basis is increased by 10% if the investment in the Opportunity Fund is held by the taxpayer for at least 5 years and by an additional 5% if held for at least 7 years, thereby excluding up to 15% of the original gain from taxation. 3. A permanent exclusion from taxable income of capital gains from the sale or exchange of an investment in an Opportunity Fund if the investment is held for at least 10 years. This exclusion only applies to gain accrued after an investment in an Opportunity Fund.