Vernon lies in the state of Alabama which partially conforms with the federal tax code around taxation of capital gains, specifically following the provisions in Section 1400Z-2 of the IRC.
Out of the 1 census tracts that exist within, or partially within the city of Vernon 1 have been designated eligible for Qualified Opportunity Fund investment. This represents approximately 100.00% of the census tracts in the city. Of the zones that are eligible, 1 qualify as a low-income community. This means the poverty rate was above 20%, or that the median household income was below 80% of the state or metropolitan area’s median household income.
The remaining zones qualified as contiguous, meaning they were located adjacent to an eligible tract, and the median household income did not exceed 125% of that eligible tract. Vernon lies in the state of Alabama which doesn’t conform to the federal tax code as it is amended. Both the city and state have adopted the new Qualified Opportunity Zone provisions. Alabama has 158 opportunity zones, which means Vernon contains 0.63% of the Qualified Opportunity Zones that exist within the state.
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