Nov 12, 2026 | asset sale, purchase price allocation
Buyers and sellers who choose an asset purchase over a stock sale must agree on one thing: how to split the purchase price. This split is called the allocation of purchase price in an asset sale. It determines the taxes each party owes long after closing. The process...
Oct 31, 2026 | purchase price allocation
When a company completes an acquisition, U.S. GAAP requires the buyer to record what it bought at fair value. A purchase price allocation valuation supports that process. It uses accepted valuation methods to determine values for the assets and liabilities. An auditor...
Oct 20, 2026 | purchase price allocation
A purchase price allocation or PPA divides the purchase price among the assets the buyer receives. Each asset carries its own tax treatment. As such, the allocation affects both buyers and sellers after closing. To support the allocation, parties often obtain an...
Sep 23, 2026 | PPA valuation report, purchase price allocation
In an asset sale, the buyer and seller split the total business price across equipment, inventory, intangible assets, and goodwill. A purchase price allocation valuation assigns a value to each of these categories. The value each asset receives in the allocation of...
Sep 10, 2026 | ppa valuation, PPA valuation report, purchase price allocation
When you buy an existing business, the total price is only part of the deal. How you divide that price among the assets shapes your tax position after closing. The allocation of purchase price for tax purposes assigns the total price to each asset. It helps determine...
Aug 18, 2026 | purchase price allocation, tax planning
In an asset sale, agreeing on the purchase price is only the first step for buyers and sellers. A purchase price allocation assigns that price across the specific assets in the deal. This allocation carries tax consequences for both sides. For the buyer, it sets the...