This paper explores the taxation issues arising from the sale of a business and considers a number of practical issues including the following:
- a comparison between the sale of business assets vs. sale of business entity
- allocation of purchase price between assets sold
- taxation rollovers
- goodwill and restrictive covenants
- prepayments
- post-sale earnout and claw back clauses
- termination payments
- accessing proceeds of sale through a company
- tax losses.