Yanks1985 Posted October 7, 2015 Report Posted October 7, 2015 Hi guys I prepare mostly 1040, so my question here is more for some accounting help.client is filing a late s corp, I'm doing the quick books (was in business for a year) and he closed the business the same year he started. His business bank account has an ending balance of 1,000. And he also made withdrawals and several payments non business related. Can I enter these as shareholder distributions to zero out the balance sheet since it's a first and final year? Thanks! Quote
Abby Normal Posted October 8, 2015 Report Posted October 8, 2015 Yes, withdrawals and non-business expenditures are most often distributions. Make sure to calculate basis on the K1. 1 Quote
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