Ideas to Reduce Tax Impact to Seller on Asset Deal with C-Corp Target

by a searcher from Harvard University

2 years ago

I am proposing an Asset deal
Target is a C-Corp
At a high level, any ideas for structuring alternatives to reduce the tax impact to seller?
Seller does not qualify for Qualified Small Business Stock
Again, looking for high level ideas
Will be consulting with tax folks in due course
Thanks in advance!

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8 comments

professional from Marquette University

As stated by ^Barry Baker, the personal goodwill technique works well (I've had over a dozen clients use it) but only IF the deal is small enough to justify the owner's contribution to the operations. Larger businesses with a management team make it hard to justify. Message me if you want to discuss.

2 years ago | like reply | 0 likes

searcher from University of Virginia-Darden - Darden School of Business

This one beats me.

2 years ago | like reply | 0 likes

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