The Tax Cut and Jobs Act created the federal Qualified Opportunity Zone (QOZ) program that became effective in 2018 and will be operative for up to the next three decades. Effective January 1, 2018, through December 31, 2026, individuals, C and S Corporations, REIT’s, partnerships and other pass-through entities can sell their appreciated capital assets and elect to reinvest the resulting capital gain income into a Qualified Opportunity Funds (QOF), in order to defer the tax on those gains for up to eight years and permanently exempt up to 15% of the original federal gain and 100% of the post-reinvestment gain. California has indicated they will not be conforming to the federal rules, while Utah likely will, and investors must carefully evaluate the state impact of any reinvestment.The QOZ program offers flexible tax savings and diversification tool for taxpayers generating larger gains. To participate in the QOZ program, the taxpayer must roll all or a portion of their short-term or long-term capital gain into a QOF within 180 days of the recognition date of the gain. The QOF must then timely invest the deferred gains into undeveloped or developed real estate, a new or existing QOZ-based business, or other qualified QOZ property.