Personal property is considered Class II property and is taxed at 20 percent of market value. Both the seller and purchaser of a group of assets that makes up a trade or business must use Form 8594 to report such a sale.Form 8594 is a tax document required in certain business sales where the buyer acquires assets rather than stock or equity. The return should include the tax due from business operations to the last day of business, as well as any tax collected on assets that you sell. A taxable asset purchase allows the buyer to "step up," or increase, the tax basis of the acquired assets to reflect the purchase price. For the purpose of the Annual Report and Personal. Property Tax Return, provide the business' mailing address in Section I of the Form 1. Today's goal is to help you understand the importance of IRS Tax Form 8594 in preparing for sale of your business to a third party… Please use the forms below to file 2022 annual reports and business personal property returns.