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Mesa Tax Lawyers Helping With Business Transaction Taxes

Let a trusted attorney guide you

A business might be the most significant investment you ever make, and you need an experienced Mesa tax lawyer who understands tax law and is well-versed in tax planning and asset protection to make sure it's legally protected.

The decision to buy or sell a business doesn't come quickly or easily. You need to understand all of the long-term implications of your purchase or sale, and that includes significant tax implications.

Mesa tax attorney Shad M. Brown and Mesa business attorney Scott T. Jensen have the experience and legal knowledge needed to advise business buyers and sellers at every stage of the purchase and sale process. Trust the legal team at Brown & Jensen to give your transaction the attention it deserves. Contact us today for a consultation.

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    What are the tax implications of buying or selling a business?

    For tax purposes, if you are buying a business, an asset purchase is usually to your advantage. In an asset purchase, you can obtain a stepped-up tax basis in the purchased assets, which can create opportunities for tax write-offs. If you purchase a business entity, you are acquiring the fully or partially depreciated value of the assets, which does not affect the tax basis.

    As a seller, your tax interest is just the opposite, and an entity purchase is usually advantageous. This is because you can report the entire gain from the sale as a capital gain on your tax return. In an asset sale, you may have to report large amounts of ordinary income rather than capital gains because the assets may have depreciated or be subject to recapture. Moreover, if your business is a corporation, stockholders may be subject to double taxation.

    In addition, remember that an entity purchase transfers any existing tax liabilities from the seller to the buyer, whereas an asset purchase generally does not. For example, if the business owes back taxes, then in an asset purchase, those taxes would remain the responsibility of the original owner. An entity purchase, on the other hand, would make those back taxes the responsibility of the new owner.

    Let a Mesa tax lawyer help you move forward

    Whether you are trying to sell your business or you're looking to make an acquisition, having an experienced Mesa tax lawyer in your corner throughout the process can prove to be essential.

    Our legal team can provide you with information and research that's important for your transaction and help resolve any issues that pop up in the process. Don't go into a business purchase or sale alone. Trust the Mesa tax attorneys at Brown & Jensen to look out for your best interests. Contact us today for a consultation.

    3850 E Baseline Rd #112
    Mesa, AZ 85206
    (480) 447-7107
    7473 E. Tanque Verde Rd
    UNIT 100
    Tucson, AZ 85715
    (520) 822-8239
    9375 E. Shea Boulevard
    Bld 100, #214
    Scottsdale, AZ 85260
    (480) 771-2261
    1300 North McClintock Dr
    Suite B4
    Chandler, AZ 85226
    (480) 418-8641
    14441 W. McDowell Road
    B102 Suite E
    Goodyear, AZ 85395
    (623) 232-0674
    14050 N. 83rd Ave
    Ste 290H
    Peoria, AZ 85381
    (623) 900-1823
    40 N. White Mountain Rd
    Suite A
    Show Low, AZ 85901
    (928) 813-0417
    630 E, AZ-260
    Suite B
    Payson, AZ 85541
    (928) 478-8833