dude7707
Level 5
‎03-18-2023 02:09 PM

Facts:  In 2022, Cash Basis 1065 T/P, receives monthly rental check.

Same year, check bounces.  

Q.  Record this as:

 

Dr.  Rental Income - Original Amount of check Rec'd.

Dr.  Bank Charges - NSF Fee

    Cr.  Cash - Total Bank Charge for this transaction. 

 

Correct?

 

0 Cheers
Reply
abctax55
Level 15
‎03-18-2023 02:37 PM

Looks good to me

HumanKind... Be Both

View solution in original post

Reply
dude7707
Level 5
‎03-18-2023 03:00 PM

Thanks abctax55 for prompt reply!

 

"Tax software is no substitute for a professional tax preparer" - Amen to that!

Reply
abctax55
Level 15
‎03-18-2023 03:39 PM

YVW

As a reminded that you maybe don't need 🙂

You will have to pick up the replacement check as rental income when it IS made good, as well as the reimbursement for the NSF fees (I'd just offset with bank charges when than happens). 

 

HumanKind... Be Both
Reply