Fiscal Cliff Provides Incentive for Selling a Business ASAP

Fiscal Cliff Provides Incentive for Selling a Business ASAP:

Although I don't quite see the pending capital gains and personal tax rate increases as armageddon as Scott Miller, CPA is quoted in this article it does raise a few thoughts regarding business sales:

1. If you can sell before the end of this year, structuring the terms of the sale to generate more capital gains in 2012 will have you paying 8.8% less capital gains tax.

2. If you can't sell before the end of this year, structuring the terms of the sale to delay capital gains will delay your increased tax burden.  And depending upon your personal tax situation, taxes on a small, multi-year consulting agreement may be more tax beneficial than a seller note.

For additional information regarding Florida business sales, acquisitions and valuations, please contact Eric J. Gall at info@buysellflbiz.com or 239.738.6227. Also, visit our Florida Business Exchange website at www.fbxbrokers.com and my personal website at www.buysellflbiz.com.