Where is goodwill purchased information entered on my 1040, not 8594, as the buyer? Bought business edition and didn't ask if I bought a business.

[Inquiring-Mind1]

I know seller and buyer must file matching Form 8594, but where does buyer include the purchase/goodwill amount on the 1040. Turbo Tax didn't ask me if I bought a business in 2018; only asked if sold anything.

[LudwigVan_fan]

The purchase of goodwill is a capital asset and is subject to amortization.  The goodwill is not a line item pre se on Sch C, F, or E.  But it becomes a line item on an amortization schedule.  The amount of allowable amortization ends up as a deduction on whichever business schedule you are filing.  Similarly as other depreciable assets.

For more information

https://www.irs.gov/forms-pubs/about-publication-946

https://taxmap.irs.gov/taxmap/pubs/p535-043.htm#TXMP6e8ac07c

I'm not familiar with TT itself, but I think when start; say a Sch C, there is a question about whether you started the business this year or are continuing a business.