When buying certain small businesses goodwill is the largest intangible asset.
For an example company, Purchase Price: 1,000,000 Tangible assets: 200,000 Goodwill: 800,000
If the company's value stays the same or grows can the acquirer amoritize goodwill on their taxes as a deduction?
Or can they only do that when the business goes down in value when profits go down, and the goodwill drops to 650,000. And then can only 150,000 be amortized?