Client is selling their C Corp business (selling the stock). They will be paying the broker about 100,000 for the broker fee at settlement. Can the C Corp deduct this broker fee on it's final return filed by the old owners. (or is it only a personal deduction by the shareholders)?
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Selling stock
If it is the sale of shares in the company, it would be a personal sale by the shareholders, thus belongs on their personal 1040 not on the corporate return."A man that holds a cat by the tail learns something he can learn no other way." - Mark Twain -
jim mcg
Sounds like a personal sale of stock to me. Reported on Sch D with the fee shown as a transaction cost as in any sale of stockComment
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What final reurn???
If it is a stock sale the corporation keeps going.. No final return...Comment
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Short Year Return
Thanks for the above post, which I tend to agree with them all. Client is taling about a short year return; howvever my understanding is that only applies to pass through entities and not C Corps. Agree?Comment
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