2830776
My retained earnings are correct on the QB balance sheet, but not in Turbo Tax. Everything balances in QB, but not TT. What am I missing? I entered exactly from year end reports.
You'll need to sign in or create an account to connect with an expert.
If you right click on the retained earnings number in TurboTax you should see a Data Source option which will tell you where that number comes from. Most likely, it comes from the schedule M-2 which is further down on the page. The M-2 balance at end of year is a product of many items, and starts with the ending balance from the previous year. You need to look at those numbers and make corrections to bring the balance in line with your QuickBooks numbers.
Sometimes, your QuickBooks income is stated on an accrual basis and your tax return is stated on a cash basis, which will throw your retained earnings off. If so, you can make an adjusting entry on schedule M-2 to account for that.
Thanks!! I am in balance.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
delgado-e-maria
New Member
colinsdds
New Member
learning_about_taxes
New Member
susan106
New Member
ethan22
New Member