Ocasio-Cortez, Tlaib propose amendment to defund administration of 'opportunity zone' program

Ocasio-Cortez, Tlaib propose amendment to defund administration of 'opportunity zone' program
© Getty Images

Progressive Reps. Alexandria Ocasio-CortezAlexandria Ocasio-CortezOhio special election: A good day for Democrats Five takeaways from the Ohio special primaries Shontel Brown wins Ohio Democratic primary in show of establishment strength MORE (D-N.Y.) and Rashida TlaibRashida Harbi TlaibOhio special election: A good day for Democrats 'The Squad' celebrates Biden eviction moratorium Press: Inmates have taken over the asylum MORE (D-Mich.) this week proposed an amendment that would prevent the IRS from using funds to administer or enforce the "opportunity zone" program created by President TrumpDonald TrumpMajority of Americans in new poll say it would be bad for the country if Trump ran in 2024 ,800 bottle of whiskey given to Pompeo by Japan is missing Liz Cheney says her father is 'deeply troubled' about the state of the Republican Party MORE's 2017 tax-cut law.

The lawmakers are proposing that their amendment be added to an appropriations bill that includes funding for the Treasury Department and IRS. The House Rules Committee is scheduled to meet Monday to determine which amendments proposed by lawmakers will be made in order.

Under the opportunity zone program, investors can receive capital gains tax breaks if they make investments in designated economically-distressed areas.

ADVERTISEMENT

Lawmakers created the program in an effort to help low-income communities, and the provisions in the 2017 tax law on opportunity zones were based on bipartisan legislation. But Democrats have become increasingly critical of the program in recent months, following news reports about how wealthy people are benefiting from the program.

Tlaib introduced a bill in November to repeal the opportunity zone program. She said at the time that the program "fails to drive real benefits to low-income communities, instead often rewarding President Trump’s donors." 

Other Democratic lawmakers have offered bills that wouldn't eliminate the program but would increase guardrails and reporting requirements.

Republicans back increasing reporting requirements about investments in opportunity zones, and continue to be  supportive of the program.

Rep. Kevin BradyKevin Patrick BradyRepublicans focus tax hike opposition on capital gains change GOP, business groups snipe at Biden restaurant remarks Top Democrat offers bill to overhaul tax break for business owners MORE (Texas), the top Republican on the House Ways and Means Committee, criticized the amendment proposed by Ocasio-Cortez and Tlaib in a tweet Friday, arguing that the amendment would hurt poor communities. 

ADVERTISEMENT

Lawmakers have proposed a number of amendments to the appropriations bill.

An amendment from Reps. Suzan DelBeneSuzan Kay DelBeneBiden's keeping the Canada-US border closed makes no sense Biden administration stokes frustration over Canada Reducing compliance burdens for the beauty industry MORE (D-Wash.) and Jackie SpeierKaren (Jackie) Lorraine Jacqueline SpeierJimmy and Rosalynn Carter celebrate 75th anniversary, longest-married presidential couple Military braces for sea change on justice reform House panel plans mid-July consideration of military justice overhaul MORE (D-Calif.) would increase funding for the IRS's operations support so that the agency has more capacity to address cases in which taxpayers have not yet received their stimulus payments.

Rep. Bob GibbsRobert (Bob) Brian GibbsGOP lawmakers demand answers on withheld restitution following Nassar revelation Wisconsin lawmaker offers bill to ban teaching of critical race theory in DC schools House floor mask mandate remains in effect after CDC announcement MORE (R-Ohio) proposed an amendment to require political organizations that are ineligible for Paycheck Protection Program loans to return any funds they received under the program by Dec. 31.