How can I change the business from a partnership to a sole proprietor?
My husband bought out his brother in December of 2008. For the entire year of 2009, this has been a sole proprietorship. When I tried to make the change for tax purposes, I get a message that all tax information will be deleted. What does this mean?
Did you close out the partnership books, make adjustments, and file a final 1065 in 08? That would be the way I'd approach it. Then start a new set of books and file a Schedule C for 09.
Not sure what you're referring to with the <all tax information will be deleted> message.
Yeah, you need to redo the tax mapping in QB if you change entity types. If you don't import your QB data into TurboTax, it won't have any effect on anything, though.
The buyout likely means that continuing on with the same books isn't the right answer for tax purposes. You should ask someone who knows taxes what adjustments are appropriate to make.
I did submit a final partnership return for 2008. However, I did not close out the business in Quickbooks. Now that I am trying to export into Turbotax, I cannot export into a Schedule C. I need to change the business to a Schedule C. How easy is it to redo the tax mapping? That is what I will have to do I think. I do not want to hand enter everything into Turbotax. Thank you for your assistance. Where is a guide for tax mapping?
I think I have found the correct place in Quickbooks. Any last advice before I redo the tax mapping?
