I bought a building with personal funds and I owe a mortgage on it. A year later, I started using as an office and paying the payment with my business acccount. Essentially, I converted a personal asset to a business asset, but I still owe on it. How do I record this in Quickbooks?
are you a sole proprietor?
Then the business doesn't own the house, you do. You can still pay the mortage but use owner equity drawing when you record the payment.
I think you should also check with a CPA, I am not one. I do not think you can charge yourself office rent either.
The IRS is funny about sole Proprietors
If this is a business property you most certainly would set it up on the books as such and depreciate it. Being a sole prop does not change that in any way.
