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Level 2
posted Jun 4, 2019 5:52:31 PM

Schedule L line 24 “ retained earnings. i cannot edit this field anywhere and the balance sheet is coming up as an error and i need to fix line 24 . thx

details ......retained earnings 

i am getting a balance sheet error saying that total assests should match total liabilities.

i see the error when proof reading it as line 24 says 0 instead of the correct amount . however, i cannot manually correct that 1 line . i keep going back through the interview and ive found places to enter numbers for line 22,23, and 26 but not line 24. very confused and frusturated. any help in resolving would be great . 

thanks 

1 2 2797
2 Replies
Expert Alumni
Jun 4, 2019 5:52:33 PM

Unfortunately, you cannot edit Retained Earnings on a business return that includes Schedule M-2. This number is automatically calculated based on last year's ending balance plus this year's income or loss.

Your best option is to review your entries for income and expense to be sure your net income for the year is correct. 

Your other option is to remove Schedule M-2 from your return. Click on Forms in the TurboTax header. Look for Form 1120S p3-5 in the left column. Click the form name to open it in the large window. Scroll down to Schedule M-2. Check "No" for both questions at the top of the schedule. Scroll up to Schedule L Line 24 and enter your Retained Earnings.

Note that you may not need to include a Balance Sheet with your return. Read more here:

https://ttlc.intuit.com/replies/3302277


Level 5
Mar 6, 2021 5:53:55 PM

I have a question related to M-2 as well. I want to reduce retained earnings by adding owner investment.

Although the M-2 form shows my addition (under Line 3 "other additions") it shows up in RED. It reduces the  retained earnings to right figure, but it is not carried over and reflected on the Schedule L Balance sheet or the M-2 worksheet.  Are you saying Turbo Tax will not allow user to have a Schedule M-2 and reduce (or change) retained earnings figure? I thought there was something I needed to change or do.

I wonder why it has this shortcoming in the software? Will they ever fix this?