How can I correct a negative cash balance from a different year?

I appreciate the screenshot you've shared and the complete details about your concern, RMH2022. Dealing with a negative cash balance from a past year due to fraudulent activity can be challenging; Rest assured, I'm here to help you out.

To start, I recommend checking the transaction history in QuickBooks to pinpoint the entries that led to the negative balance. This can be accomplished by looking at the account register associated with the transactions of the year 2023.

After identifying the incorrect transaction, create a bank deposit entry dated 2024 for the amount of $1,650:

1. Select + New.
2. Under Other, select Bank Deposit.
3. Select the payment and the Journal Entry you created.
4. The total should be zero.
5. Select Save and Close.

Once done, create an adjusting entry in your current accounting period. This entry should include a memo stating that this adjustment is to correct the negative $1,650 balance from 2023.

Nevertheless, it might be beneficial to consult with a qualified accounting professional or reach out to a QuickBooks Live Expert Assisted service. They can review your entries to guarantee the accuracy of your financial records.

Additionally, you can check out this article to learn how to change your closing date and password: Edit your closed books in QuickBooks Online.

If you require further assistance in correcting your negative transactions, please feel free to reach out in the Community space. We are here to support you around the clock.

@RMH2022 

Obviously you cannot follow the advice given by @EvethC .  If you do, you will make changes to your closed 2023 books.

It's hard to tell based on your screenshot because it doesn't show exactly what accounts are being hit.  You will need to post a screenshots of each of the four transactions shown.  If you can click on the links after 'Added to:' (Deposit 04/27/2023, for example) and post screenshots of all four transactions, we can get this fixed in no time.  Ultimately, you will need to create a deposit dated in 2024 for $1,650.  The screenshots will determine what account to assign to the deposit because that account is also off by $1,650.  Double-entry accounting always affects two accounts.      

Rainflurry is right from an accounting perspective. Once tax returns are complete using the data in QBO, you do NOT want to make any entries to those books, because if you do, the trial balance will no longer match the tax return.  Make any entries using an early January date (of the next year) and be sure to memo.  We always password protect/close the books for our clients to make sure they don't touch those closed books.

Rainflurry - 

I hope the screenshot is decent. It would only let me upload 1 image. =/ 

Thank you for your reply and willingness to help!