So as of 1/1/25 I elected my single member LLC to be taxed as an S-Corp. Prior to that I was taxed as a single member LLC Sole Proprietor. On 12/31/24 my business account closing balance was $30,000, making my 1/1/25 opening balance $30,000. For the new S-Crop (I started fresh with my booking software), I entered that opening balance of $30,000 an "owner's equity" and that is what it's showing as on my trial balance sheet. My business WILL be required to submit the balance sheet on my taxes, because I will cross that $250,000 threshold. Yes, my business is doing well and will greatly benefit from the S-Corp tax savings...... My question is, how will I report that "owner's equity" on my S-Corp tax filling? My understanding is that S-Corp don't have "owner's equity" it's call something else? I think I'm the only share holder? So this would be some sort of share holder equity or investment? I'm throwing a lot of verbatim out there. Please help me understand the correct term and where I will report that on the S-Corp tax filling? I know I've got a year before my first S-Corp tax filling, but I'm trying to understand this right now so that I file correctly at the end of the year.
