For the partnerships that your partnership is invested in, you have a couple options how to enter contributions and withdrawals

First option is to select Yes to the Acquire Investment prompt. Enter “1” as the number of shares. When the transaction is complete, open the Asset & Liability screen for the partnership in which you invested. Change the number of shares from 2 back to 1.

A simpler method is explained in the new Accounting for Private Equity Investments white paper, also on the Navigator Resource Center. You can rework your Chart of Accounts as it suggests and use the new private equity reports. Or for now, you can simply change the Format Type of each partnership from Long-Term Investment to Private Equity-Commitment. Then when you enter a contribution or withdrawal, you will not get the Acquire Investment prompt and the transaction will be recorded correctly.

If you have been saying No to the Acquire Investment prompt, your transactions changed the balance but not the cost/tax basis. Or the cost/tax basis may not have been entered correctly when the accounts where first set up. Review your source documents and determine what the correct balance and cost/tax basis should be. If you find the balances are correct and the cost basis should be the same but isn’t, simple go to the Asset & Liability screen for each partnership in which you invested and change the tax and cost basis. Since there is no other audit trail for this, it is good practice to print and file the Cost Basis Balance Sheet for before and after the changes.