Form 1065 Balance Sheet rounding issues

I am trying to complete schedule L on Form 1065 and TurboTax introduces rounding errors that make it impossible to balance the balance sheet. How do I address these issues? Should I add an entry called "Rounding errors" or should I force some of the numbers there to different values to fix the balance sheet? What is the accepted practice?

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1 Best answer

Level 15

Feb 18, 2023 12:10:59 AM

the rounding error shouldn't be more than a few dollars. adjust the cash balance or any other account.

Level 15

Feb 18, 2023 12:10:59 AM

the rounding error shouldn't be more than a few dollars. adjust the cash balance or any other account.

Level 3

Feb 19, 2023 5:23:36 PM

Thank you!

Level 3

Mar 9, 2024 7:21:55 AM

In no way is this an acceptable solution. The correct solution is for Turbo Tax to accept dollars and cents, and to stop rounding.

Level 2

Feb 17, 2025 8:51:38 AM

Not acceptable? It's literally how the data will be entered on the tax return. Are you under the impression that the IRS uses cents on 1065 returns?

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Form 1065 Balance Sheet rounding issues