Creating a Chart of Accounts for sole proprietors and partnerships

Use your Balance Sheet and Trial Balance (if available) from the last date of the past fiscal year when creating a Chart of Accounts for sole proprietors and partnerships. They'll provide the majority of financial information required for your set-up. You'll also need:

• AgriInvest balance(s)
• Canada Revenue Agency (CRA) registration numbers (GST/HST and Business)
• capital asset listing with description, year of purchase, original cost, business percent and fair market value of buildings, equipment and machinery
• date of business year-end
• equity balances in co-ops, credit unions, etc.
• inventory balances (grain, livestock, etc.). You'll need quantity and total values of inventory. If you're enrolled in the AgriStability program, use last year's ending balances as this year's beginning inventory numbers.
• investment balances (RRSPs, Canada Savings Bonds, stocks, etc.)
• land information (quarters by legal description, original cost and fair market value)
• last GST/HST remittance amount
• list outstanding cheques and deposits at set-up date (reconcile bank balances)
• payable listing (people and businesses to whom you owe money at year-end)
• payroll information including employee names, start date, wage, etc., if applicable.
• personal percentages on accounts (house repairs, telephone, cell, power, heating, water, personal vehicle, etc.)
• previous year's tax return for Capital Cost Allowance (CCA) information
• principal balances due on all loans
• receivable listing (people and businesses that owe you money at year-end)
• year-end bank statement

Last updated on June 23, 2016 by FCC AgExpert