Me and a partner just started a small business last year. We have not taken any dispersals because we are not making money yet. My balance sheet will not balance and I cant figure out why. Please HELP!
Information from Schedule L in Turbotax Business:
Beginning of tax year:
Buildings and other assets: $39,908
Accumulated depreciation: $16,348
End of Year:
Buildings and other assets: $39,908
Accumulated depreciation: $23,441
Total Assets: Beginning of year: $23,560; End of year: $16,467
Loan from shareholders:
Beginning of year: $0
End of year: $3000 (loaned to company mid-year)
Retained Earnings: (-$1,936)
Capital and Retained Earnings: $1,064
Balance sheet out by: Beginning of year =$23,560; End of year = $15,403
Any other assets? What were your total receipts for the year? You probably don't even have to do the balance sheet. Anyway, what about the other account......like cash for example.....and what and how much did you each contribute?
We dont have to do a balance sheet for the Federal Government but my State requires one for all businesses (North Carolina). Total receipts were $86,695. Total Cash: Beginning of year $6,849