An asset sale is the purchase of individual assets and liabilities, whereas a stock sale is the purchase of the owner's shares of a corporation. Asset sales offer more tax benefits to buyers.An asset sale involves the purchase of individual assets and liabilities. The sale of a business usually is not a sale of one asset. Instead, all the assets of the business are sold. During an asset sale, the seller retains legal ownership of the business. An asset sale will likely result in a combination of gain taxed at both ordinary and capital gains rates, depending on the nature of the individual assets. A stock purchase is a complete purchase of a company, including all the assets and liabilities. Stock purchases thus have different tax outcomes. An asset sale will generally be subject to California sales taxes.