When buying the assets of a business, some are subject to sales or use tax, while others are not. Items subject to retail sales tax.When you sell your business, you may need to report all or part of the sale on your excise tax return. Also, you may be required to collect retail sales tax. A taxable asset purchase allows the buyer to "step up," or increase, the tax basis of the acquired assets to reflect the purchase price. This page provides detailed guidance to help local governments in Washington State develop and adopt asset management policies. Asset purchase agreements can be a useful way to create a new business while leaving unwanted resources and potential issues with the seller. Your business will need special assets and equipment to succeed. If you buy multiple assets for a lump sum, you and the seller may agree to a specific allocation of the purchase price among the assets in the sales contract. This post is meant to preview for you the component parts of an acquisition, primarily from the perspective of an interested buyer.