Error: "Your QuickBooks data shows you are using Cash Basis yet your tax return shows Accrual Basis" after importing
Updated: 11/30/2011
Article ID: SLN12584
After importing your QuickBooks data into TurboTax Business, you may get the following message, or one similar to it:
Your QuickBooks data shows you are using Cash Basis yet your tax return shows Accrual Basis
Solution
There is a QuickBooks preference setting that can trigger this message. Below are instructions for how to find this:
- In your QuickBooks company file, go to Edit and then Preferences.
- Click Reports & Graphs.
- In the main Preferences window, click on the Company Preferences tab.
- Under Summary Report Basis, the select the appropriate method, accrual or cash.
Note: TurboTax imports your QuickBooks information based on the accounting method you use in your tax return, not on the accounting method you use in QuickBooks. Therefore, the accounting method you use in QuickBooks does not have to match your tax return. The report in TurboTax is just a display to help you review your QuickBooks amounts.
