Need help in fixing my bad bookkeeping practice

[pedz]

I'm using TurboTax for business for my Texas S Corp and I used it last year (and previous years).  I'm using QuickBooks Online for my accounting software.

The problem is that after I file taxes last year, I made changes to 2023 entries.  Now, this year, I start and it pulls in last year's tax return which provides all of the ending balances -- retained earnings in particular.  But due to my changes in the 2023 entries the retained earnings for the end of 2024 does not agree with Quickbooks.

Is there a accepted method of reconciling these differences (I assume within Turbo Tax but perhaps it needs to be done in QuickBooks).

[ThomasM125 · Accepted solution]

You can change the beginning balances in TurboTax on Schedule L, including the retained earnings balance to agree with your QBooks ending balances. If you change the beginning retained earnings balance it will change the ending balance as well.

[pedz]

I will try that but I thought it was "Locked" because it came from the previous return.

[pedz]

I don't see Schedule L.  I'm doing 1120S.  When I search for Schedule L it gives me "Other Assets" or "Other Liabilities".

[pedz]

I found it.  Search for "Retain" in the forms search and it gives you a few choices.  The small hard part is you need to make last years stuff balance but that's do-able.

The other thing (which is new to me) is ^D to override a field.

Thank you for your help.