Why is my non-cash donation listed on my balance sheet (M-1) as an expense recorded on books this year. Non-cash is not recorded on my books just regular donations?

[ARouns]

I can't balance my balance sheet because it is doing that

[abctax55]

What was donated?  

What was the offset for the journal entry recording the donation in the books/on the Trial Balance?

[ARouns]

It doesn't matter what was donated - it was a non-cash donation. I didn't have enough income this year to use my donations, so they were correctly listed on the balance sheet as expenses on books this year not deducted on this return. However, the $300 non-cash donation was also added to that number. That throws my balance sheet off by $300. This seems to be a software problem?

[abctax55]

Nope... not a software problem

Again I ask.... what was the offset used to record this non-cash contribution on the books of the Corp?

Answer that, and adjust the balance sheet accordingly.

[qbteachmt]

"It doesn't matter what was donated"

Yes it does. A business donating inventory, vs Food, vs an individual donating a vehicle or appreciated stock, all matters. You never told us which entity type and which form you are working with.

[ARouns]

This is a corporation return and I am trying to balance the balance sheet. We donated $300 worth of hay  for rodeo livestock and received a receipt for that. This was hay that we raised so there is no "cash" income on this. 

[sjrcpa]

Are you sure you can even get a charitable contribution deduction for it? Wouldn't it be ordinary income if you sold it?

[abctax55]

What was the offset for the journal entry recording the donation in the books/on the Trial Balance?

You still haven't answered my question.   Once you do, you'll know what to 'offset' to get the balance sheet to balance - altho @sjrcpa has an excellent point, now that you've provided more info.

Are you a tax pro?  Do you understand double entry bookkeeping?   If not, then you are in over your head & should find  professional assistance with this.   If you are, you need to find a mentor.