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steveweaver48
Level 2

What are the specific steps I need to do in QBO to switch a partnership to s sole proprietor? The partnership has no employees / payroll.

 
1 Comment 1
john-pero
Community Champion

What are the specific steps I need to do in QBO to switch a partnership to s sole proprietor? The partnership has no employees / payroll.

  1. buy out partner
  2. record buyout in QB
  3. close books of partnership in QB
  4. start a new company subscription
  5. transfer sole owner balance sheet to new company
  6. proceed as sole prop

Reasoning for new company is you will be conducting business and filing under a different federal tax ID. Your partnership had a unique number for filing partnership returns, an EIN even though no employees. Now you will file under your SS#

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