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

Forum|Forum|1 year ago
October 27, 2024
1 reply
0 views

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?

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Best answer by Anonymous_

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Anonymous_Answer

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TaxDonor1Author

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.