- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Business & farm
it is also possible that you showed distributions on the asset side of the balance sheet. That account would also be closed to retained earnings. however, contributions of money you put in are not retained earnings. they should have been shown as 1) loans from shareholder, 2) paid-in capital, or 3) stock. Repayment of loans would reduce the loans from shareholder amount but not below zero. Also at issue would be if they were non-interest bearing. Certain sections of the code (ie 7872) could require they bear interest, otherwise, interest could be imputed
March 7, 2024
11:37 PM