How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Stephen G. Your Own Question
Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
Satisfied Customers: 6172
Experience:  Extensive Experience with Tax, Financial & Estate Issues
30050794
Type Your Tax Question Here...
Stephen G. is online now
A new question is answered every 9 seconds

1065 partnership tax return the schedule L...when I show

Customer Question

1065 partnership tax return the schedule L...when I show stock assest being held
JA: Thanks. Can you give me any more details about your issue?
Customer: seems to add long term held stock assests to the partner capital throwing off the balance sheet
JA: OK got it. Last thing — Tax Professionals generally expect a deposit of about $32 to help with your type of question (you only pay if satisfied). Now I'm going to take you to a page to place a secure deposit with JustAnswer. Don't worry, this chat is saved. After that, we will finish helping you.
Submitted: 9 months ago.
Category: Tax
Expert:  Stephen G. replied 9 months ago.

Evidently Brenda is not available as you question was returned to the "Q".

My name is***** and I can try to assist you if you wish. OR you can wait for Brenda to return.

Just let me know.

One Question first:

When you say "Stock assets" are you talking about Inventory or holding "Stock" (shares) in another Company?

Customer: replied 9 months ago.
I have a basic partnership with me and father as the partners.. our partnership has always done under $250,000 so balance sheet wasn't (sechedule L) wasn't required. This year we went over $250,000 in sales. Our partnership has Etrade account where we hold a copy of dividiend stocks. We report the dividends as required but on the balance sheet that we now have to fill out it has a spot to list the long term held assest. When I put that number in...its around $40,000 it throws off the balance sheet.
on the schedule L first box is cash.... that number is ***** end of profits in the account...down a few numbers you list other assest... if I list these stocks held this balance sheet doesn't balance. These stocks aren't going to be sold we hold them to collect the dividend so I am not sure how to make this balance. any thoughts?
Expert:  Stephen G. replied 9 months ago.

I take it that you aren't keeping a regular set of books, general ledger, etc.

If you have assets and no liabilities then the offset to recording an asset on your balance sheet would go to the Partners' capital accounts, just like the partnership income that is retained in the partnership.

I'm not sure how you are making the Balance Sheet balance with whatever other assets (cash) that you have recorded?

Are you using the Capital Accounts?

Expert:  Stephen G. replied 9 months ago.

Do you have any additional follow-up questions?

If not, please remember to rate my response as that is the only way we receive credit for our work.

Thanks very much,

Steve G.

Related Tax Questions