Description:

The sale of a business is a complex transaction with significant tax consequences for both buyers and sellers. Whether it’s a complete sale, partial divestiture, or a structured buyout, understanding how tax law applies to these transactions is essential to optimize tax outcomes and avoid costly missteps. This one-hour webinar will provide CPAs, tax advisors, and financial professionals with a comprehensive overview of the federal tax implications that arise during business sales, including entity-level considerations, asset vs. stock sales, and key reporting requirements.

Led by an experienced tax professional, the session will examine practical scenarios and offer strategic guidance for managing the timing of income recognition, applying installment sale rules, navigating §1202 and §338(h)(10) elections, and addressing state-level issues. Attendees will gain insights into how to advise clients on structuring transactions, planning for tax liabilities, and preparing for IRS scrutiny in the event of large business sales.

Session Highlights:

• Asset sale vs. stock sale: tax differences and strategic considerations
• Treatment of goodwill and other intangible assets
• Installment sales and timing of income recognition
• Section 1202 Qualified Small Business Stock (QSBS) exclusions
• Section 338(h)(10) and Section 336(e) elections
• Allocation of purchase price and IRS Form 8594
• Depreciation recapture and ordinary income treatment
• Impact of state taxes and nexus issues
• Planning for capital gains vs. ordinary income
• Common pitfalls and how to avoid audit red flags

Learning Objectives:

• Identify the key tax differences between asset and stock sales
• Understand how to apply installment sale rules in business dispositions
• Evaluate the benefits and requirements of §1202 and §338(h)(10) elections
• Explain the tax treatment of intangible assets, including goodwill
• Advise clients on strategies to minimize tax liability during business sales

Who should attend?

• CPAs, EAs, and Tax Preparers
• CFOs and CEOs in crypto-forward industries
• Financial compliance professionals
• Tax attorneys and legal advisors

Speaker Profile:

Nick Preusch CPA, JD, LLM, is a tax manager with PBMares, LLP. Nick has participated in helping high wealth individual and large business entities with complex tax compliance, along with specializing in international, non-for-profit tax issues, and tax ethics issues. Nick has also worked with the Internal Revenue Service as a Revenue Agent and an Attorney with the IRS Office of Professional Responsibility. Nick is a graduate of Carthage College with a BS in Accounting and Business, University of Connecticut with a MA in Accounting, Case Western Reserve University with a JD, and Georgetown University with an LLM in taxation. Nick has also authored publications for the AICPA’s Journal of Accountancy, AICPA’s Tax Advisor, NATP’s Tax Pro Journal, and CCH’s Journal of Tax Practice and Procedure. He also co-authored a textbook, Tax Preparer Penalties and Circular 230 Enforcement, published by Thomson Reuters. He has lectured nationally on topics such as ethics, complex tax transactions and IRS practice and procedure. Currently Nick is an adjunct professor at the University of Mary Washington. Nick has been recognized as the Top 5 Under 35 CPAs in Virginia by the VSCPA in 2017 and CPA Practice Advisor’s Top 40 Under 40. He is a member of the VSCPA’s Tax Advisory Committee and Ethics Committee, and the AICPA’s Tax