Thank you for your response, would you mind going into a little more detail?

This transaction took place in 2024 and to provide my client with a tax projection (eventually) I am running a dummy file in my 2023 software as though the transaction took place then.

I have drafted a two separate Forms 6252 (installment sales),

one for Buildings and Land,

and one for Noncompete and Consulting Agreement. 

In ProSeries there is a box to check - "check if ordinary gain from non-capital asset" - I have that box checked, the current year payments filled in, and the principal portion of the note paid in "2023" if flowing through to Form 4797 and then my 1040 - not in total ($265,000) but reflecting the current principal payments received ($77,722).

I have worked through installment sales in the past and don't have reason to believe my entries are incorrect - I also came here for input on how I'm handling this transaction, however, so if you don't mind I appreciate any guidance you are referring to in the form of Software Tips or IRS code.