Buying & Selling Businesses | Attorneys in Biloxi, MS

As opposed to mergers and/or acquisitions, it's more common for one company to acquire all assets of another due to concerns about purchasing all of its stock. Asset purchase agreements can provide an extremely tax-effective means of buying or selling substantially all of the assets of a corporation or business entity.

Contact Barnes, Bailey & Janoush, P.A. now to secure proficient legal counsel in Biloxi, MS and navigate the business buying and selling process with confidence.

While Section 1060 of the Internal Revenue Code offers flexibility for buyers and sellers to structure transactions for effective tax planning, it's crucial for both parties to exercise caution to steer clear of potential tax pitfalls within asset sales. Sections 1245, 1250, and 197 of the Internal Revenue Code introduce various taxable recapture provisions that sellers and buyers must address. Buyers should also be vigilant in avoiding allocations leading to extended depreciation or amortization periods, which could result in significant adverse tax consequences.