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Tax Savings Calculator

How much of your gain can you keep?

Two inputs. One clear answer. See exactly what you'd owe if you do nothing — and what changes if you invest in an Opportunity Zone.

If you do nothing
$185,500
vanishes to federal + state tax on a $500K gain. That's 37.1% of your gain gone this year.
You'd keep $314,500 after tax.
What if you could keep all of it?
Your choice today

Pay the tax today, or defer it into a Qualified Rural Opportunity Fund?

Keep today
$314,500
Lost to tax
$185,500
Deployed into QROF
$500,000
all of it, tax deferred, with discount when taxes are due
Lost to tax today
$0
Your OZ 2.0 timeline
Year 0
Invest $500K
No tax today
Year 5
Tax on deferred gain
$129,850*
Year 10+
Tax-free exit
on all appreciation
*Due at year 5 under OZ 2.0's rolling deferral. Paid from outside funds or by selling QROF shares. Reflects the 30% rural step-up discount on the original gain.
Potential value at year 10
Assumes gains are invested in real estate at 8% annual return.
Actual returns vary by project, sponsor, and market cycle.
Pay tax now
$543,759
Net after federal + state tax on appreciation at exit.
Invest in QROF
$888,670
Fully tax-free exit after 10-year hold.

Pay Tax Now path includes federal long-term capital gains tax (20%) plus the 3.8% Net Investment Income Tax on appreciation at exit. State tax (13.30%) applied per your selection. QROF path is fully tax-free on appreciation after a 10-year hold under IRC § 1400Z-2.

+$344,911
more in your pocket at year 10 by investing in a Qualified Rural Opportunity Fund.

Opportunity Zones defer your tax today, discount it 30% when due, and give you zero capital gains on appreciation when you sell the real estate in 10+ years.

Your next 180 days

Take the next step.

You have 180 days from your sale date to invest your gain into a Qualified Opportunity Fund. Get notified when your state files OZ 2.0 nominations and when funds go live in your target markets.

Opportunity Zone tax calculator — FAQ

How are Opportunity Zone tax savings calculated?

Opportunity Zone savings come from two mechanisms: deferring tax on the capital gain you reinvest into a Qualified Opportunity Fund, and eliminating tax on the fund's own appreciation if you hold for at least 10 years. This calculator applies the federal long-term capital gains rate (20% plus the 3.8% net investment income tax) plus your state rate, then compares the after-tax outcome of investing in a QOF against simply paying the tax now.

How much tax do you pay on capital gains in an Opportunity Zone?

You defer tax on the original reinvested gain until the earlier of your exit or the deferral deadline, and you pay zero federal tax on the QOF investment's appreciation once it is held 10 years or more. OZ 2.0 also adds a basis step-up — 10% at five years for a standard QOF, 30% for a rural QROF — which permanently reduces the deferred gain that eventually becomes taxable.

Is the Opportunity Zone calculator free?

Yes. The calculator is free, requires no signup, and runs entirely in your browser. It is CPA-reviewed and models OZ 1.0, OZ 2.0 standard QOF, OZ 2.0 rural QROF, a 1031 exchange, and a pay-now scenario side by side over a 10-year horizon.

What is the difference between an Opportunity Zone and a 1031 exchange for taxes?

A 1031 exchange defers tax only on real estate when you roll proceeds into like-kind real estate, and the deferred gain is never forgiven — it carries forward until you sell without exchanging. An Opportunity Zone fund accepts gains from any asset (stock, crypto, business sales, real estate), and after a 10-year hold the appreciation on the fund investment is fully tax-free. This calculator shows both paths against each other.

Related: 1031 exchange vs Opportunity Zone · Combining a 1031 exchange with an Opportunity Zone · browse Opportunity Zone funds