Sale of an LLC Hair Salon.

[Hairrescue]

My wife and her business partner sold their hair salon in Aug. of 2019. We are using Turbo Tax  Business 2020 to file their last return. It asks about a form 8594. I'm not sure what I an to enter on this form. It has a few classifications for asset classes. The quick help from the program was no help at all really. Can anyone help us complete this form? If we even need it? Thank you in advance.

[M-MTax]

I realize you don't do this for a living and it's just a hair salon but both the purchaser and seller need to file that form....8594....and they NEED TO AGREE. I'd say you need professional help at this point so get a tax pro because filing that form is going to take some expertise and so will entering the sales of the various assets with recapture.

[Hairrescue]

Martinmarks1919, Thank you for your reply. My wife just reminded me that the salon was sold in 2020 not 2019. My mistake. They had an attorney draw up a contract and an agreed upon value for the total assets the salon owned at the time of the sale. i.e. furniture, phones, decor, seating, etc. I was able to read the classes and find the right one to input the agreed upon amount. Turbo Tax software, should fill the form out with that amount, correct?

[Critter-3]

That form is not part of the income tax return and the program will not fill it in ... that form needs to be sent to the IRS and the info from that form is used to complete the return.  If this is a partnership that closed a final 1065 needs to be filed.  If you don't know what you are doing then PLEASE seek professional assistance for this tax year.  

[Hairrescue]

Thank you Critter-3 for your reply. Maybe I didn't clarify which version I was using and for that I apologize.  I read on the Turbo tax help that this form is available on the Turbo Tax Business version, but not the home version. 

[Critter-3]

That form is available in the BUSINESS version :  https://turbotax.intuit.com/small-business-taxes/#tax-forms