Section 197 for Turbo Tax Business Edition

[winsalt]

We purchased a business in 2019 - as an LLC, filing as an S Corp, we paid $30K for Goodwill - I believe that is an allowable deduction in Section 197 - but I don't see where to enter it on the Turbo Tax Business Edition. Thank you.

[Anonymous_ · Accepted solution]

Click the Federal Taxes tab and then click Income.

In the Dispose of Business Property section click Business property/assets and then click Start (or Update).

Add an asset (e.g., the Section 197 intangible) providing a description and the date of purchase.

On the next screen select Other and then select Amortizable intangibles on the following screen.

Enter the amount you paid for the asset ($30k) and then select 197: Section 197 intangibles on the next screen.

[winsalt]

Thank you!

[Ldewz]

Where in the CD version is this section? 

[DaveF1006]

To clarify, what kind of business entity do you have?

@Ldewz

[Ldewz]

Sole proprietor. Just need to know where to find the section 197 questions on the CD version. 

[Anonymous_]

Are you using Home & Business?

Add goodwill as an amortizable intangible in the Business Assets section.

[AliciaP1]

In TurboTax Home & Business you can find Section 179 information by using the magnifying glass icon at the upper right and search "section 179".  Use the Jump to link that appears to go through the questions.

@Ldewz

[Anonymous_]

@AliciaP1 Section 197.

[Ldewz]

No search results come up for section 197. I'm using the 2021 home and business edition of turbo tax.

[Anonymous_]

@Ldewz Start at the screenshot below.

[Anonymous_]

Add an asset:

[Ldewz]

Thank you, that was very helpful!