Wrote a personal loan to my LLC to fund initial operations. How can I claim that on my personal taxes?

vdramosfam · ‎February 17, 2022

Wrote a loan to acquire goods for my newly formed LLC. Was it the best way to capture this on my taxes.

JohnB5677 · ‎February 17, 2022

You will not report the loan value on your tax return. However, you should report any interest that you received on your personal return.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

vdramosfam · ‎February 17, 2022

so, writing a personal loan does not reduce my personal income liability?

JohnB5677 · ‎February 17, 2022

No, writing a personal loan to an LLC will not affect your personal tax return. It is expected that the loan will be paid off, and you would be made whole again. However, the interest will be income to you and a deduction for the LLC.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Expert does your taxes

Do it yourself

Resources

Support

Wrote a personal loan to my LLC to fund initial operations. How can I claim that on my personal taxes?