qbteachmt
Level 15

You sure want to make something out of something it's not.

A "per year actual payment" is expense and is more like a maintenance fee or renewal fee; not further investment, and it didn't do anything except give them the right to fish for that one year. That's why it isn't Basis.

You don't care that others will amortize their license.

You don't care to speculate that license values will be higher in the future. Look what has happened to the NYC taxi medallion marketplace.

"What other thoughts if it were your client?"

Point out they got full benefit of the expense all these years. Tell them how delighted you are that they made so much money on the sales, and of course that means paying taxes, and to be thankful it turned out that this was all worth something. After all, the marketplace rules could have simply retired any unrenewed license, opening up slots to issue new licenses where the licensing agency got the new rates and not creating a secondary marketplace at all.

It can always have been worse.

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