A former dock facility is shown with old transfer bridges, with "Long Island" painted in large letters at Gantry State Park in the Long Island City section of Queens Borough in New York, Tuesday, Nov. 13, 2018. Amazon announced Tuesday it has selected the Queens neighborhood as one of two sites for its headquarters. (AP Photo/Bebeto Matthews)

Amazon's NYC home in 'opportunity zone' for Trump tax break

November 14, 2018 - 1:16 am

NEW YORK (AP) — Much of the New York City neighborhood selected by Amazon for one of its new headquarters is in a federal "opportunity zone," a designation created by President Donald Trump's tax overhaul. The designation offers developers potentially millions of dollars in capital gains tax breaks to invest in high-poverty, low-income areas.

Critics question whether Long Island City in Queens needs such breaks. Median income around Amazon's planned campus is $130,000, poverty is half the city average and new buildings were going up long before the tax overhaul.

Under the new tax law, officials in each state designated 8,700 such zones across the country that have high poverty and unemployment, and are in need of development.

The site of Amazon's other new headquarters in Crystal City, Virginia, was not in an opportunity zone.

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