In 2019, my partner and I formed an LLC and purchased an ongoing value with a significant amount for goodwill. It so happens that the seller has been unable to secure a key third party approval which has made the value goodwill drastically lower, if not zero.
I prepared Form 8594 in which I recorded the goodwill impairment (or, "reallocation of a decrease in consideration" to use the language of the Form 8594 instructions) in Part I & III.
My question is how to record Goodwill and "decrease" or impairment in TurboTax Business. If I record Goodwill as an asset using step-by-step method and designate it as intangible under Section 197, it automatically amortizes over 15 years. I cannot figure out a way to enter the "impairment" as a deduction, although I am able to manually enter the opening and ending values for Goodwill in Balance Sheet but, in the absence of a deduction for the impairment, it throws off Balance Sheet by that amount.
I'd highly appreciate help in this matter.
