8996 Qualified Opportunity Fund

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Form

8996

(December 2018)
Department of the Treasury
Internal Revenue Service
Name

OMB No. 1545-0123

Qualified Opportunity Fund

▶

Go to www.irs.gov/Form8996 for the latest information.
▶ Attach to your tax return. See instructions.

Attachment
Sequence No. 996
Employer identification number

DRAFT AS OF
October 19, 2018
DO NOT FILE

Part I

General Information and Certification

1 Type of taxpayer:
Corporation
Partnership
2 Is the taxpayer organized for the purpose of investing in qualified opportunity zone property (other than another qualified
opportunity fund)?
No. STOP. Do not file this form with your tax return.
Yes. Go to line 3.
3 Is this the first period the taxpayer is a Qualified Opportunity Fund?
Yes. By checking this box, you certify that by the end of the taxpayer’s first qualified opportunity fund year, the taxpayer’s
organizing documents include a statement of the entity’s purpose of investing in qualified opportunity zone property and the
description of the qualified opportunity zone business. See instructions.
No. Go to Part II.
4 If “Yes” on line 3, list the first month in which the fund chooses to be a Qualified Opportunity Fund.

Part II

Investment Standard Calculation

5 Total qualified opportunity zone property held by the taxpayer on the last day of the first 6-month
period of the taxpayer’s tax year. See instructions if Part I, line 3 is “Yes” . . . . . . . .
6 Total assets held by the taxpayer on the last day of the first 6-month period of the taxpayer's tax
year. See instructions if Part I, line 3 is “Yes” . . . . . . . . . . . . . . . . . .
7 Divide line 5 by line 6 . . . . . . . . . . . . . . . . . . . . . . . . . .
8 Total qualified opportunity zone property held by the taxpayer on the last day of the taxpaye’s tax
year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9 Total assets held by the taxpayer on the last day of the taxpayer’s tax year . . . . . . . .
10 Divide line 8 by line 9 . . . . . . . . . . . . . . . . . . . . . . . . . .

Part III

5
6
7

8
9
10

Qualified Opportunity Fund Average and Penalty

11 Add lines 7 and 10 . . . . . . . . . . . . . . . . . . . . . . . . .
12 Divide line 11 by 2.0. See instructions if Part I, line 3 is “Yes” . . . . . . . . . . .
13 Is line 12 equal to or more than .90?
Yes. Enter -0- on this line and file this form with your tax return.
No. The fund has failed to maintain the investment standard. Complete Part IV to figure
penalty. Enter the penalty from line 8 of Part IV on this line, and file this form with your
return . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Cat. No. 37820G

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the
tax
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Form 8996 (12-2018)

Form 8996 (12-2018)

Part IV

DRAFT AS OF
October 19, 2018
DO NOT FILE

Page 2

Line 13 Penalty

If you checked “No” in Part III, line 13 complete Part IV to figure the penalty. Enter the number from line 8 below on Part III, line 13. See instructions if Part I, line 3 is “Yes.”

1
2
3
4
5
6
7

(b)
Month 2

(c)
Month 3

(d)
Month 4

(e)
Month 5

(h)
Month 8

(i)
Month 9

(j)
Month 10

(k)
Month 11

(l)
Month 12

Total assets on the last day of the month . .
Multiply line 1 by .90 . . . . . . . . .
Total Qualified Opportunity Zone Property on
the last day of the month . . . . . . .
Subtract line 3 from line 2. If less than zero,
enter -0- . . . . . . . . . . . . .
Underpayment rate . . . . . . . . .
Multiply line 4 by line 5 . . . . . . . .
Divide line 6 by 12.0. Round up to two decimal
places. See instructions if Part I, line 3 is “Yes”
(f)
Month 6

1
2
3
4
5
6
7
8

(a)
Month 1

(g)
Month 7

Penalty. Add columns (a) through (l) of line 7. Enter the total here and on Part III, line 13

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Form 8996 (12-2018)