TurboTax Business 2022 is calculating retained earnings incorrectly. Income Reconciliation is correct with a loss, but Retained Earnings is adding, not subtracting loss

[TaxDonor1]

Under Balance Sheet reconciliation, the Retained Earnings Reconciliation adds the loss instead of subtracting it. It's not in balance and creates a mess. How can I fix this?

[tagteam · Accepted solution]

You can try resolving the issue in Forms Mode but you may have to contact Support (link below).

Balance sheet issues are difficult to troubleshoot in a Q&A forum such as this one.

What is the TurboTax phone number?

[TaxDonor1]

Thanks for responding. Balance sheet issues are definitely challenging.

It was our fault. Our PPP loan forgiveness was incorrectly entered since it took place the prior year. The amount was being added to the retained earnings when it shouldn't have even been there. We couldn't tell it was part of the retained earnings calculation. We now need to remove it and file an amended return. Thanks again for your help.