Asset Sale lets buyers choose specific assets and liabilities; Stock Sale doesn't. Learn the tax implications for each type of sale.While an asset sale outshines a stock sale in company structure support, it loses a fair amount of points when it comes to tax implications. In a stock sale, the buyer acquires equity from the target company's shareholders. With an asset sale, the buyer is buying the assets of the business. These assets will be identified in the purchase and sale agreement. Generally, a stock sale is better for the seller and an asset sale is better for the buyer. An asset is ideal if you want more demand and a higher sale price, while a stock sale is ideal if you want to sell sooner and at favorable tax terms. In an asset sale, the buyer selects specific assets and typically avoids inheriting liabilities. The seller of an incorporated business generally prefers to dispose of stock, while the buyer prefers to purchase the assets directly from the corporation.