Can I treat this as a stock sale?

[howsher2]

 I was bought out of a closely held company.  I gave them my 500 shares of stock and received a one time cash payment for my portion of the company (which was not included on my W-2).  Can I treat this as a stock sale?  If not, how do I treat it?

[CarolynM · Accepted solution]

Yes, you can treat this as a stock sale. You can also treat this as a sale of business, but reporting as a stock sales is better because it reflects your release of interest in the 500 shares of stock.