Lawmakers’ Scrutiny Unlikely to Shake Opportunity Zone Market

Democratic lawmakers are intensifying scrutiny of the tax law’s opportunity zone incentives—but industry professionals said Congress’ heightened interest likely won’t have much of a ripple effect among investors outside of Washington.

Lawmakers have called for watchdog investigations and introduced bills that would tighten requirements for the tax perk after the New York Times reported late last month that Treasury ignored its own guidelines when selecting areas eligible for the tax break, a claim the department has refuted.

House Ways and Means Committee Chairman Richard Neal (D-Mass.) and Senate Finance Committee ranking member Ron Wyden (D-Ore.) on Nov. 6 upped ...