If you receive a K-1 for an investment owned by your small business, use these simple instructions to adjust your Investment Account (Long-Term Asset) in QuickBooks to reflect the net income and any of the other items on the form. When you’re finished, the amount in the Investment Account will equal the Ending Capital reported on the K-1.
Interest, dividends, and expenses that impact the gain or loss on an investment are reflected on the K-1. Book them by offsetting to Gain or Loss on the Investment Account.
If you need assistance with the bookkeeping for your small business, give us a call at 216-333-1303.
