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Goodwill : Section 197 Intangibles

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Company acquired all assets of Harv incorporation on March 2011 and paid 9,750,000 for the assets. 950,000 of the purchase price is for goodwill (Section 197 intangibles). What is company's deduction relating to the goodwill in 2011?

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Solution Summary

The solution computes how much goodwill can be amortized under Section 197.

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Goodwill = 950,000

As per Section 197, the goodwill can be amortised over 180 ...

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