I use Quickbooks Premier 2020, been using Quickbooks for many years now. I have several business that I run in Quickbooks and have no issues with the way they are setup. My deal is, my brother is giving me part of his business (he pretty much no longer runs it and thought I could benefit from it). He is giving me the majority ownership of the business, while retaining a small portion at this time, so we'll saw that I will own 75% and he will own 25%. Is there a way to setup that % allocation within Quickbooks and the equity accounts?
I was searching online for information and came across a page for from the Quickbooks Canada Team (not sure if it relates to QB Desktop or QB Online). It states
"When you create an equity account for each partner, you are prompted to note each partner’s share in the company. For example, if you run the company with your spouse, and you each own half of it, you enter 50% for each person. Alternatively, if you own 30% but your partner owns 70%, you note these percentages accordingly.At tax time, you can use your QuickBooks accounting software to see the company’s income and expenses. Then, multiply each figure by your share of the partnership to determine how much to report on your tax return. For example, if the company collected $100,000 in sales and you own 60%, you report $60,000. Creating partner equity accounts makes this information easier to access when completing your tax return."
I know when I created an equity account, it did not ask me about this, is there something I am missing, or is this not actually an option or what. Thanks
