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Initial and Annual Statement of OMB No. 1545-0123
Form 8997 Qualified Opportunity Fund (QOF) Investments
Department of the Treasury Attach to your tax return. Attachment 2023
Internal Revenue Service Go to www.irs.gov/Form8997 for the latest information. Sequence No. 997
Name Tax identification number (see instructions)

Part I Total QOF Investment Holdings Due to Deferrals Prior to Beginning of Tax Year
If different from last year’s ending QOF investment holdings, attach explanation.
(a) (b) (c) (d) Deferred gain held in QOF
Qualified Date QOF Description of QOF investment Special (e) (f)
Opportunity investment (for example, 100 shares or 25% interest) gain Amount of short-term Amount of long-term
Fund (QOF) acquired code deferred gain deferred gain
EIN (MM/DD/YYYY) remaining in QOF remaining in QOF

1 Enter the totals, if any, from continuation sheet . . . . . . . . . . . . .

2 Enter the totals from columns (e) and (f) . . . . . . . . . . . . . . . .
Part II Current Tax Year Capital Gains Deferred by Investing in QOF
(a) (b) (c) (d) Deferred gain invested in QOF
Qualified Date QOF Description of interest acquired Special (e) (f)
Opportunity investment (for example, 100 shares or 25% interest) gain Amount of short-term Amount of long-term
Fund (QOF) acquired code deferred gain deferred gain
EIN (MM/DD/YYYY) remaining in QOF remaining in QOF

1 Enter the totals, if any, from continuation sheet . . . . . . . . . . . . .

2 Enter the totals from columns (e) and (f). See instructions for reporting on Form 8949 .
Applicability of Special Rules Regarding the Waiver of Certain Treaty Benefits
Are you a foreign eligible taxpayer? See instructions for more information.
Yes. You may not elect to defer tax on an eligible gain by investing in a QOF unless you check “Yes” in response to the next
question.
No. Skip the next question and go to Part III.
Waiver of Treaty Benefits on Future Inclusions by a Foreign Eligible Taxpayer
Do you hereby irrevocably waive any benefits available under an applicable U.S. income tax convention that would exempt gains
that you are deferring by investing in a QOF from being subject to federal income tax at the time of inclusion? See instructions for
more information.
Yes. Report the deferral of the eligible gain in Part II and on Form 8949.
No. You may not elect to defer tax on an eligible gain by investing in a QOF. Do not report the deferral of any otherwise eligible
gain in Part II or on Form 8949.
For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 37821R Form 8997 (2023)

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Form 8997 (2023)                                                                                                                                     Page 2 
Part III        Inclusion Events and Certain Other Transfers During the Current Tax Year
                                                                                                                             Deferred gain included 
  (a)            (b)                                  (c)                                                 (d)      due to disposition of QOF interest
Qualified        Date of event                    Description of event                                    Special 
Opportunity      (MM/DD/YYYY)   (for example, sale of 100 shares, gift of 25% interest,                   gain            (e)                  (f) 
                                                                                                                   Amount of previously Amount of previously 
Fund (QOF)                           or distribution of     $1,000, etc.)                                 code     deferred short-term  deferred long-term 
  EIN
                                                                                                                   gain now included in gain now included in 
                                                                                                                   taxable income       taxable income

1    Enter the totals, if any, from continuation sheet  . .  .  .      . .   . . . . .                    .  .

2    Enter the totals from columns (e) and (f). See instructions for reporting on Form 8949  .
Check this box if you disposed of any investment(s) and didn’t receive a Form 1099-B reporting the disposition from the QOF or 
other third party. See the Instructions for Form 8949 for reporting requirements of any gain or loss.
Part IV         Total QOF Investments Due to Deferrals at Year End (see instructions)
  (a)            (b)                                  (c)                                                 (d)      Deferred gain invested in QOF investment
Qualified        Date QOF            Description of interest acquired                                     Special         (e)                  (f) 
Opportunity      investment     (for example, 100 shares     or 25% interest)                             gain     Amount of short-term Amount of long-term 
Fund (QOF)       acquired                                                                                 code     deferred gain        deferred gain 
  EIN            (MM/DD/YYYY)                                                                                      invested in QOF      invested in QOF

1    Enter the totals, if any, from continuation sheet  . .  .  .      . .   . . . . .                    .  .

2    Enter the totals from columns (e) and (f)  . . . .   .  .  .      . .   . . . . .                    .  .
                                                                                                                                        Form 8997 (2023)

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Form 8997 (2023) Page 3

Section references are to the Internal with special allocations. Generally, the Part I
Revenue Code unless otherwise noted. investment in the QOF must have
occurred within the 180-day period Complete Part I to declare your QOF
General Instructions beginning on the date the gain would be investments held at the beginning of the
recognized for federal income tax current tax year; for individuals, this
Future Developments purposes if the eligible taxpayer didn’t would generally be January 1, 2023.
elect to defer recognition of that gain. A Complete columns (a) through (d) for
For the latest information about QOF investment is also reported on each QOF investment. When reporting
developments related to Form 8997 and Form 8949; other non-qualifying the amount of the deferred gain, use the
its instructions, such as legislation investments in the entity certified as a appropriate column (either (e) or (f))
enacted after they were published, go to QOF are not reported on Form 8997. depending on whether the remaining
www.irs.gov/Form8997. deferred capital gain in the fund was a
Special gain code (SGC). An SGC is a short-term or a long-term capital gain.
What’s New code that is entered when the QOF
investment originated from an elected Identification requirement for
Basis adjustment due to 5-year deferred gain, where the gain was: acquisition from another taxpayer in a
holding period. If you held your noninclusion transfer. If you acquired
investment in the Qualified Opportunity SGC Gain Origination the QOF investment during the tax year
Fund for at least 5 years, you may be A Section 1256 gain or in a prior tax year in a transaction that
eligible for a basis adjustment increase was, in whole or in part, not an inclusion
of 10% of the deferred gain (the amount B Form 4797 (section 1231) event under Regulations section
of your investment). See Part III for more C Straddle(s) 1.1400Z2(b)‐1(c), provide the following
information. D Collectibles information relating to the transferor of
the QOF investment. Enter in column (c)
If you are eligible for the basis E Exempt by treaty (but for the taxpayer name, taxpayer
period and you file Form 8997 before
adjustment due to the 5-year holding election to defer rather than identification number, and the date the
claim exemption)
June 30, 2024, see the Caution in Part III QOF investment was transferred to you.
for more information. F Deferred gain relating to a Enter in column (d) special gain code
noninclusion transfer “F.”
Purpose of Form G Adjustment to basis 5-year Identification requirement for transfer
The Tax Cuts and Jobs Act (TCJA), to another taxpayer in a noninclusion
section 13823, added section 1400Z-1 Who Must File transfer. If you disposed of a QOF
to provide for the designation of certain An eligible taxpayer holding a QOF investment during the tax year in a
census tracts as qualified opportunity investment at any point during the tax transaction that was, in whole or in part,
zones (QOZs) and added section year must file Form 8997 with the not an inclusion event under Regulations
1400Z-2 to provide certain benefits for taxpayer’s timely filed federal income tax section 1.1400Z2(b)‐1(c), provide the
investments in these QOZs through return (including extensions). An eligible following information relating to the
investment in qualified opportunity funds taxpayer is a person that is required to transferee of the QOF investment. Enter
(QOFs). Taxpayers that invest in QOZ report the recognition of gains during the in column (c) the taxpayer name,
property through a QOF can defer the tax year under federal income tax taxpayer identification number, and the
recognition of certain gains. See accounting principles. If you are not date the QOF investment was disposed
Definitions, later. otherwise required to file a return, with of. Enter in column (d) special gain code
An investor in a QOF uses Form 8997 the exception of grantor trusts, but you “F.”
to inform the IRS of the QOF investments held a QOF investment at any point
and deferred gains held at the beginning during the tax year, attach Form 8997 to Part II
and end of the current tax year, as well an appropriate return, such as Form Complete Part II to report your capital
as any capital gains deferred by 1040-NR or Form 1120-F, with your gains for the current tax year that were
investing in a QOF and QOF investments name, address, and identification deferred by investing in a QOF.
disposed of during the current tax year. number. Complete columns (a) through (d) for
See www.irs.gov/Ozfaqs for more Instructions for consolidated groups. each QOF investment. When reporting
information and guidance. A consolidated group should include the amount of the deferred gain, use the
with the group’s return a separate Form appropriate column (either (e) or (f))
Definitions 8997 for each group member that held a depending on whether the capital gain
Qualified opportunity fund (QOF). A QOF investment during the tax year. deferred was a short-term or a long-term
capital gain.
QOF is an investment vehicle organized
as a corporation or a partnership for the Specific Instructions Identification requirement for
purpose of investing in QOZ property acquisition from another taxpayer in a
(other than another QOF) that holds at Name and Address noninclusion transfer. If you acquired
the QOF investment during the tax year
least 90% of its assets in QOZ property. Print or type the information in the in a transaction that was, in whole or in
See the Instructions for Form 8996 for spaces provided. part, not an inclusion event under
more information.
Taxpayer identification number. If you Regulations section 1.1400Z2(b)‐1(c),
Qualified opportunity fund (QOF) are an individual, enter your social provide the following information relating
investment. A QOF investment is an security number (SSN) or your individual to the transferor of the QOF investment.
investment of eligible gain into a QOF to taxpayer identification number (ITIN). For Enter in column (c) the taxpayer name,
defer recognition of the eligible gain. The C corporations, partnerships, S taxpayer identification number, and the
investment in the QOF must be in the corporations, trusts (non-grantor trusts), date the QOF investment was
form of an equity interest in the QOF, estates, and Indian tribes, enter the transferred to you. Enter in column (d)
which may include preferred stock or employer identification number (EIN). special gain code “F.”
partnership interests, including those

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Form 8997 (2023)                                                                                                                  Page 4 

Identification requirement for transfer       Complete columns (a) through (c) for       Part IV
to another taxpayer in a noninclusion         each QOF investment. When reporting 
transfer. If you disposed of a QOF            the amount of the deferred gain now        Complete Part IV to report your deferred 
investment during the tax year in a           included, due to the inclusion event,      gain held during the tax year that was 
transaction that was, in whole or in part,    complete column (d) and report the         not invested and your QOF investments 
not an inclusion event under Regulations      amount of the gain in the appropriate      held due to current year capital gain 
section 1.1400Z2(b)‐ 1(c), provide the        column (either (e) or (f)) depending on    deferrals and prior tax year(s) deferrals; 
following information relating to the         whether the previously deferred capital    for individuals, this would generally be 
transferee of the QOF investment. Enter       gain was a short-term or a long-term       December 31, 2023. Complete columns 
in column (c) the taxpayer name,              capital gain. If your transaction falls    (a) through (d) for each QOF investment. 
taxpayer identification number, and the       under an exception in the regulations so   When reporting the amount of the 
date the QOF investment was disposed          that no deferred gain is now included,     deferred gain, use the appropriate 
of. Enter in column (d) special gain code     enter in column (c) the word “Exception”   column (either (e) or (f)) depending on 
“F.”                                          and a citation to the applicable           whether the deferred capital gain was a 
                                              paragraph of the regulations; leave        short-term or a long-term capital gain. 
Waiver of Treaty Benefits on                  columns (d)–(f) blank.                     If one of your QOF investments is the 
Future Inclusions by a                        Check the box in Part III if you           continuation of an investment in a 
Foreign Eligible Taxpayer                     disposed of a QOF investment during        different QOF (for example, due to a 
                                              the current tax year and didn’t receive a  reorganization), enter in column (c) the 
If you are a foreign eligible taxpayer (an    Form 1099-B from the QOF or other third    word “Formerly” and the earlier QOF’s 
eligible taxpayer that is not a U.S. person   party reporting the disposition.           EIN.
within the meaning of section 7701(a)(30) 
or that is treated as a resident of another   Basis adjustment due to 5-year             Identification requirement for 
country for purposes of an applicable         holding period. To report an inclusion     acquisition from another taxpayer in a 
income tax treaty), you must, for any         event that involves an adjustment to       noninclusion transfer. If you acquired 
capital gains that you are deferring by       basis due to the amount of time you held   the QOF investment in a transaction that 
investing in a QOF, irrevocably waive any     the investment, complete columns (a)       was, in whole or in part, not an inclusion 
benefits available under an applicable        through (d) for each QOF investment        event under Regulations section 
U.S. income tax convention that would         being disposed that individually meets     1.1400Z2(b)‐1(c), provide the following 
exempt such gains from being subject to       the 5-year holding period requirement.     information relating to the transferor of 
federal income tax at the time of             See Regulations section 1.1400Z2(b)-1(g)   the QOF investment. Enter in column (c) 
inclusion. A foreign eligible taxpayer        for further guidance on calculating the    the taxpayer name, taxpayer 
includes, for example, any individual who     basis and Regulations section              identification number, and the date the 
is required to file Form 1040-NR, a           1.1400Z2(b)-1(d) for further guidance on   QOF investment was transferred to you. 
foreign corporation, and a foreign estate     calculating the holding period. In column  Enter in column (d) special gain code 
or trust.  A citizen or resident alien of the (c), put “Adjustment to basis 5-year” and  “F.”
United States who is required to file         in column (d) enter special code “G.” 
                                                                                         Additional Investments
Form 1040 or 1040-SR is not a foreign                  If you file Form 8997 before June 
benefits, a foreign eligible taxpayer must    ▲        30, 2024, do not enter special    Attach and label a separate continuation 
eligible taxpayer. To waive treaty            CAUTION! gain code “G” in column (d).      sheet if the number of QOF investments 
check the “Yes” box provided on page 1        Leave column (d) blank. Attach a           to be reported on Part I, II, III, or IV 
of Form 8997 under Waiver of Treaty           statement which states: “Reporting basis   exceeds the amount of lines provided. 
Benefits on Future Inclusions by a            adjustment due to 5-year holding           Transfer the deferred gains from the 
Foreign Eligible Taxpayer.                    period.” If you file Form 8997 after June  continuation sheet to the line on each 
Note: The waiver of treaty benefits on        30, 2024, enter special gain code “G” in   part for totals from a continuation sheet 
Form 8997 generally doesn’t apply to          column (d). No attachment is necessary.    and enter the amounts in the appropriate 
                                                                                         column (either (e) or (f)) depending on 
partnerships. See Regulations section         When reporting the amount of the           whether the deferred capital gain 
1.1400Z2(a)-1(b)(11)(ix)(A)(3).               adjustment, due to the inclusion event,    invested in the fund was a short-term or 
                                              report the amount of the adjustment in     a long-term capital gain.
Part III                                      the appropriate column (either (e) or (f)) 
Complete Part III to report inclusion         depending on whether the previously 
events during the current tax year for        deferred capital gain was a short-term or 
your QOF interests. An inclusion event        a long-term capital gain for each EIN.
occurs if you sold or transferred your        Identification requirement for 
QOF investment, if you received a             acquisition from another taxpayer in a 
distribution from the QOF, if you             noninclusion transfer. If you acquired 
declared your QOF interest worthless, if      the QOF investment in a transaction that 
the QOF ceased to be a QOF, or if you         was, in whole or in part, not an inclusion 
or the QOF engaged in certain other           event under Regulations section 
transactions. Some transactions are           1.1400Z2(b)‐1(c), provide the following 
excepted from being inclusion events.         information relating to the transferor of 
See Regulations section 1.1400Z2(b)-1(c)      the QOF investment. Enter in column (c) 
for a full list of inclusion events and       the taxpayer name, taxpayer 
exceptions.                                   identification number, and the date the 
                                              QOF investment was transferred to you. 
                                              Enter in column (d) special gain code “F.”

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