When reporting the balance sheet it is mandatory to match assets with liabilities. Here are the most common ways taxpayers use to match both in the balance sheet is by adding the following under liabilities:
- Liabilities will be auto-balanced in the proprietor's capital tab in the liabilities section once you add assets.
- Example: If you have entered assets worth 98,000, your liabilities will be auto balanced in proprietors capital tab amounting to 98,000. If you have obtained a 5,000 loan for trading purposes and want to add it in the liabilities section, you can perform the action and click on save, then the capital will be auto-balanced to 93,000 making liabilities worth 98,000.