How to report a personal expense for an LLC partnership paid in one year and reimbursed in another?

Question

My business partner and I have a very small partnership LLC. This is my first year filing IRS tax forms for the LLC.

In late 2014 I made a $30 purchase (from my personal money) on behalf of the LLC. The LLC reimbursed me for the expense in early 2015.

I'd like to report the $30 expense as an "accounts payable" item for the LLC on the 2014 tax forms, and then as paid on the tax 2015 forms. I have not been able to figure out how to report this on Form 1065 and its related schedules.

It feels like this is a simple question, but I haven't been able to find an answer.

Answer 1

You report it when the expense was incurred/accrued. Which is, in your case, 2014. There's no such thing as "accounts payable" on tax forms, it is an account on balance sheet, but most likely it is irrelevant for you since your LLC is probably cash-based.

The reimbursement is a red-herring, what matters is when you paid the money.