Qualified Opportunity Fund (QOF)

Definition

A QOF is an investment vehicle — structured as a corporation or partnership — that must hold at least 90% of its assets in qualified opportunity zone property. Investors who roll capital gains into a QOF within 180 days can defer federal tax on those gains until the earlier of the date they sell their QOF interest or December 31, 2026. The primary remaining incentive is a complete exclusion of appreciation earned inside the QOF itself for investments held at least 10 years.