twatson96
Level 1

I have a negative 481(a) on 1120s from a change in cash to accrual.  I have completed the 3115, as well as recorded as a permeant adjustment on the M-3.  However, the return is still out of balance by this amount. The 3115 information is obviously not flowing into the 1120s, so where else do I need to record this adjustment?

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sjrcpa
Level 15

I use the other income line. In this case you would enter the negative amount.


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Accountant-Man
Level 13

Other income. It should also be on the M-1.

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