NY Bill Killing Opportunity Zone Tax Breaks Clears State Senate

The New York Senate on Monday passed a bill eliminating state tax breaks under the federal Opportunity Zone program, though it has yet to move forward in the Assembly with only a few weeks remaining in the legislative session.

The Senate voted 41-20 to approve the measure, S543B, fully decoupling the state from the Opportunity Zone program—a part of the 2017 federal tax law intended to spur economic development in low-income areas by giving capital-gains tax breaks to investors.

New York in 2021 stripped some of the state-level tax benefits created under the federal program, but left in a ...