Where do I report income from a sale of personal goodwill?

[hutchison-richar]

As part of an S corporation stock sale, I also sold personal goodwill.  Where are the proceeds from the Goodwill sale recorded and reported?  

[IreneS]

Is this on your personal return or on the S-Corp return?

[hutchison-richar]

Personal return.

[IreneS]

Did you sell the entire S-Corp or just some of the stock?

[IreneS]

The sale of goodwill is really the sale of a business asset.  But since you don't have a business listed in your 1040 (Sch C or Sch E), you can enter the sale of goodwill (an intangible) as the sale of an investment.  Report the sale in TurboTax, using these steps:

1. Click on Federal > Wages & Income
2. In the Investment Income section click on the Start/Revisit box next to Stocks, Mutual Funds, Bonds, Other.  [See Screenshot #1, below.]
3. If you have already entered some investment sales, you will see a screen Here's the investment sales info we have so far.  Click on the Add More Sales link.  [Screenshot #2]
4. If you haven't already entered some investment sales, you will see a screen Did you sell any investments in 2017?  Click the Yes box.
5. On the screen, Choose the type of investment you sold, mark the button for Everything else and click Continue.  [Screenshot #3]
6. On the next screen, Some Basic Info About This Sale, enter the sale information.  Be sure to enter the NET proceeds.  [Screenshot #4]
7. Continue through the screens, entering the requested information.