Purchasing an Existing Business or its AssetsThis page provides useful tax information for individuals purchasing an existing business or its assets.
As a purchaser of assets in a bulk sale transaction, you are required to:
• notify the NYS Tax Department of your pending purchase or acquisition using Form AU-196.10, Notification of Sale, Transfer or Assignment in Bulk, at least 10 days before paying for or taking possession of the business assets, whichever occurs first; and
• pay sales tax when purchasing business assets, such as furniture or office equipment.
For more information, visit the Tax Department’s website through the links below, or refer to Publication 20, New York State Tax Guide For New Businesses.
Businesses that have an interest in real property:
If you are acquiring a business that has an interest in real property, such as a deed or a lease, the transaction may be subject to the real estate transfer tax. For more information, visit the Tax Department’s website through the links below, or refer to Publication 20, New York State Tax Guide For New Businesses.
Additional licenses, permits, and registrations:
All the licenses, permits and registrations that are required to operate a business may not be transferable when purchasing an existing business. You will need to contact the issuing agencies for information on how to comply with New York State’s registration requirements.