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Level 5
posted Feb 17, 2023 2:32:42 PM

Raised rent & security deposit and Balance sheet is off by amt. of increase.

I've only been doing my own taxes for a couple of years now and so not sure what I'm doing wrong.

My Balance Sheet in Turbo Tax is off by the exact amount showing in my Tenant Balance Detail report in my Quickbooks account as the change.

When this tenant paid (via PayPal), I put the money in the "Security Deposits Payable account. (Same bank as other transactions)

This past year, I raised rent a little when an old tenant moved out and changed over to new tenant. The $80 change is showing in my Tenant Balance report attached here which reflects that increase.

I have always had the security deposits listed in liabilities side. I have attached that statement. But as you can see from my records, it appears that the amount I'm off in my TT Balance sheet looks like it may be a result of this increase.

My check register reconciled. I don't understand why this is happening. I realize that if I reduced the asset side with same amount, it would balance but I never had to do that before. And I don't know where I would put that debit and what next years balance sheet would need done to balance.

Thanks in advance for any help.

0 4 2398
4 Replies
Level 13
Feb 17, 2023 2:57:59 PM

Your balance sheet appears to be off by more than the $80.

My math shows the balance sheet is off by $550.

Level 5
Feb 18, 2023 8:15:26 AM

I just figured out what is wrong. The 80 SD increase is just a coincidence. I had $48 of rent holdover that wasn't included in rent income and then the 32 was not included where it should have been. It was damage to property that tenant paid same month and I just debited and credited security deposit but it should be applied somewhere. Those two figures equal the $80.

I uploaded old Balance Sheet. I guess it saved old balance sheet because I had not saved TurboTax when I printed that page. Thanks for bringing that to my attention.

Hopefully I can figure out how to change my quickbooks accounts to put these figures in correct places.

Level 13
Feb 18, 2023 11:06:59 AM

Glad everything balanced out as you expected.

Level 5
Feb 18, 2023 11:30:50 AM

Well not quite yet.

I was able to easily fix the $48 item. But I'm unsure how to treat the $32 charge. I don't think I should add it to repairs since she paid for it right away. The register is correct because I didn't count it as income but instead put it in damages by tenant account which was debited and credited. But now its got me out of balance in balance sheet. I am not sure how to adjust the tax return.