actually report on form 8949 code C (short-term) or code F (long)-term. form 8949 transfers to schedule D.
short-term vs long-term is based on how long you operated the business.
so I would enter on the 8949 sale of business - goodwill sales price $XXX, cost $0, date acquired (date business began) and date sold. codes c or f just indicate to the IRS no sales form was filed (1099B)
4797 doesn't seem appropriate
per the IRS
Use Form 4797 to report:
The sale or exchange of property.
The involuntary conversion of property and capital assets.
The disposition of noncapital assets.
The disposition of capital assets not reported on Schedule D.
The gain or loss for partners and S corporation shareholders from certain section 179 property dispositions by
partnerships and S corporations.
The computation of recapture amounts under sections 179 and 280F(b)(2) when the business use of section 179 or listed property decreases to 50% or less.
Gains or losses treated as ordinary gains or losses, if you are a trader in securities or commodities and made a mark-to-market election under Internal Revenue Code section 475(f).
