How do I account for transfering money between a business and personal checking account?
Posted November 23rd, 2009 by admin 2 Comments »
Billy asked:
I have a business checking account (sole proprieter) and a personal checking account. I will at times transfer money from my personal account to my business account when funds get low or if my business account has more money, I will transfer some to my personal account to spend freely. Is this a wrong way to be doing things? Should I be doing some sort of documenting? Does the IRS care about this come tax time even if I keep track of sales for the business?
I have a business checking account (sole proprieter) and a personal checking account. I will at times transfer money from my personal account to my business account when funds get low or if my business account has more money, I will transfer some to my personal account to spend freely. Is this a wrong way to be doing things? Should I be doing some sort of documenting? Does the IRS care about this come tax time even if I keep track of sales for the business?