Liz Posted February 25, 2013 Report Share Posted February 25, 2013 I have been doing taxes for 4 yrs now, doing mostly 1040 returns. Last year the gentlemen that mentored me retired, but was able to answer questions when they arose. However, now he has passed away. I only do 2 1065 forms each year, but now I have run into what is probably a very simple question. The annual report from the manager states that a they transferred income to a money market account, and shows the transfer as a asset purchased from income. How do I show this transfer, or do I? My balance at the end of the year does not match their balance. I am figuring that I need to show the cash transferred to the asset, but just can't figure out how. Quote Link to comment Share on other sites More sharing options...
BulldogTom Posted February 25, 2013 Report Share Posted February 25, 2013 A money market account is a cash equivalent, and would remain on the cash line of the balance sheet in the tax software. It does not matter how many bank accounts the company has, all cash accounts are one line item in the balance sheet in the tax software. Tom Hollister, CA Quote Link to comment Share on other sites More sharing options...
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