3M business sale

Submitted by Douglas Bauerband on Thu, 2024-07-18 11:47

Have a client who is selling her business for 3M with her ex-husband so she will receive 1.5M. She is looking for a one lump payment. Does not want to go on with her ex or any payment plan although it would probably be in her best interest to take buyout plan over 3-5yrs.

I know she cannot do a 1031 since there is no property is involved.

Is there any such thing as a cost basis in a business sale so she can reduce the taxes on the 1.5M?
If there is a cost basis, what can be added to the cost basis?
Is there any avenue available for her to take to reduce or defer taxes on the 1.5M?

thank you for any assistance.

Douglas