RobertB4444
Expert Alumni

Self employed

What you've done is called divestiture and it should be reflected as a sale of the company's stock.  The portion of the company's stock that was sold is the basis of the transaction and the amount received is the amount you sold it for.  You'll enter it as a capital transaction with the date of the creation of the stock as the origination date.

 

If you haven't created stock for your company I recommend consulting an attorney and a tax professional to make sure this transaction is entered properly.  You don't want to get this one wrong.

 

@Workflow1

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