I have a S-Corp and a Rental property, my issue is I have been paying my s-corp loans out of my rental property bank account over the last year. I was tracking it by using different classes in my QuickBooks. But know my balance sheet is out of balance. How should I have been tracking it ?
If your S Corp and Rental property business are two different businesses (which it sounds like they are), you need to set up separate bank accounts for each business so that you can track your loan payments for the S Corp in the S Corp bank account. Classes works great to help separate income and expenses for multiple departments or locations but when you are managing two different businesses they should each have their own QuickBooks company file and bank accounts.
Crystalynn Shelton, CPA
315 Madison Avenue, 24th Floor
New York, NY 10017
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