Hello i'm looking for a little bit of understanding around a simple sale of 100% of the stock from a small business I founded and built.
I created and ran an LLC for about 10 years. While I never contributed my personal cash to the business (started without any debt) I accumulated revenue and value over the span of the 10 years.
At that point I sold 100% of the stock to a group of employees.
I sold the business for $300K (plus 2% interest) on an installment sale over 15 years.
I am looking for guidance on the capital gains/loss tax for reporting purposes.
I realize how ridiculous this is going to sound, but on the books, the balance sheet on the date of the sale was in the positive a little over $1M. But I agreed to the installment sale terms for $300K (please no comments about how silly that was, there were idealistic reasons at the time)
Question is...since it was a stock sale would I actually have a recorded Capital LOSS of $1M-$300K?
Any guidance or links to resources would be appreciated. I'd also welcome reference to a tax professional who would give me guidance for a fee.
I created and ran an LLC for about 10 years. While I never contributed my personal cash to the business (started without any debt) I accumulated revenue and value over the span of the 10 years.
At that point I sold 100% of the stock to a group of employees.
I sold the business for $300K (plus 2% interest) on an installment sale over 15 years.
I am looking for guidance on the capital gains/loss tax for reporting purposes.
I realize how ridiculous this is going to sound, but on the books, the balance sheet on the date of the sale was in the positive a little over $1M. But I agreed to the installment sale terms for $300K (please no comments about how silly that was, there were idealistic reasons at the time)
Question is...since it was a stock sale would I actually have a recorded Capital LOSS of $1M-$300K?
Any guidance or links to resources would be appreciated. I'd also welcome reference to a tax professional who would give me guidance for a fee.
Statistics: Posted by aliciadelapaz — Sat Sep 21, 2024 1:13 pm — Replies 0 — Views 23