S-Corp basis/sale Hello!
I recently won a lawsuit and the award is I am being bought out of my s corp shares. The total sale is 400K (40K per year for 10 years at 5% interest). My lawyer receives 25% of the award. The buyer would like to date the sale 12/31/16 to simplify accounting. The business lost money in 2016 and in 2017. There are some tax credits such as R&D that continue rolling forward.
Questions:
1. Where can I find my basis on the 2016 1120s?
2. Am I taxed on the portion that goes to my lawyer?
3. Is the 2016 vs 2017 an issue?
Anything else I am missing?
Thank you! |