Single Member LLC receiving family capital contributions

[Jordan76009]

Hi there,

I have a small farm that I set up as a single-member LLC (disregarded entity). I received some funding from family since it is a start-up farm. This funding was on a donation basis, not an investment with expected returns. How do I enter these capital contributions in my taxes?

Thanks,

Jordan 

[ColeenD3]

There is no such thing as a capital contribution to your LLC. Your disregarded entity is the same as you personally. This is a gift. If anyone gave you more than $15,000, they need to file a Form 709.

[Jordan76009]

Ok, so do I need to account for that in any way on my own taxes?

[MinhT1]

The gift is non taxable for you and you do not enter it on your tax return.

[Jordan76009]

If a family member gave more than $15,000 cumulatively, though no one single gift amounted to over $15,000 individually, they will need to file a Form 709?

[ColeenD3]

No. If each gift is under $15,000, there is no need to file the form.