Opinion: Economically distressed regions in the U.S. cannot be forgotten
EDITOR'S NOTE: Boris Epshteyn formerly served as a Senior Advisor to the Trump Campaign and served in the White House as Special Assistant to The President and Assistant Communications Director for Surrogate Operations.
WASHINGTON (Sinclair Broadcast Group) - The American economy is roaring.
Consumer confidence is at a 16-year high. National unemployment is at a 16-year low. The stock market is breaking record after record.
What is hiding behind those big-picture numbers, however, is that there are areas of the country which have been left behind.
A recent study by the Economic Innovation Group found a growing relationship between economic prosperity, or lack thereof, and geographic location.
The South appears to be the one overarching place with the most economic distress.
So, what is the solution?
There need to be economic incentives to boost business development in regions which are lagging behind.
That is where the Investing in Opportunity Act could play a key role.
The bill would allow for investors to defer capital gains tax if they reinvest into low-income communities that receive “opportunity zone” status. The bill also incentivizes long-term investment by actually lowering or even eliminating the amount of taxes paid on income from such investments.
This proposed legislation has received bipartisan support, as well as the backing of the president.
This issue is part of the larger discussion on tax reform. The president is rolling out his tax reform plan this week. It will include significant tax breaks for businesses. The reforms should incorporate the ideas of the investing in opportunity act.
The bottom line is this. The areas in this country that are struggling cannot be forgotten. Broad tax reform should ensure that the economy continues to strengthen in all parts of our united states.