sale of an s corp

[PDS]

do I have to show the sale of the s corp in the basis or enter as other income or something else? 

[TaxGuyBill]

What EXACTLY was sold?  

1. Did the shareholder sell the corporate stock?
2. Did the corporation sell its assets?  If so, what kind of assets?
3. Something else?

[PDS]

Hello, 

Looking at the settlement statement from the lawyer I would say it was the assets of this business that were sold.  They bought the name and all of the assets, which were those of a take out restaurant.  Do I show the sale of each asset?  Then this will show a capital gain or loss on the K1? 

[abctax55]

Sch D and/or F 4797, depending on the answers to Bill's (excellent) questions.

And yep, basis should be considered unless you want to really short-change your client.