Jay Search <hillstead[at]gmail.com> wrote:

- quote -

Probably it's long term capital gain, so about 15% Federal.

- quote -

They can be deferred, perhaps to your death. For instance,
if you sold to a public company in a stock-for-stock merger,
you'd own $60 million worth of their stock. (Of course,
that would be taxable when you sold it.)

There also used to be some special rules about selling out
to an employee stock ownership plan, which let you defer
taxes if you reinvested the money in securities. I don't
know if they still apply.

Seth

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What's your cost basis in the business, and are you
stucturing it as an asset sale or a stock/LLC interest sale?

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"Jay Search" <hillst...[at]gmail.com> wrote:

- quote -

You could do a 1031 exchange of the assets. You must be very
careful to exchange real estate for real estate, machinery
for machinery of the same type, and other assets for assets
with the same characteristics and class life. you would end
up owning another business but you would avoid taxes on the
exchange.

Don't sell the assets of the business and then sell the
stock to clear out the cash. I recently figured out the tax
consequences of doing this for clients who had a large real
estate holding in a C corporation. They would get less than
30% of the sale proceeds doing it this way. If they just
sold the stock in the corporation they would keep almost
60%. It is cheaper to find a buyer for your corporation and
pay the capital gains taxes at your personal rate. Then
start a new corporation if you want to continue in business.

Linda Dorfmont E.A., CFP, CSA

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I have a question, i have been wondering about for some
time. If I were to sell my company in Nevada for let's say
60 million, and I own 100% of this company. How Much would
the Government take of this sum? And is there ways around
not paying taxes for sale of business?

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