No, you should report the true capital contribution because that doesn’t change.
As an example, if you each contributed $50k in capital to the LLC, bought a property for $80k and spent $20k in rehab costs, the amount you contributed to the LLC didn’t change. You still each contributed $50k, only the form in which that equity was held was changed; you each simply converted the $50k that was a cash asset to a $40k property asset and $10k in additions to asset basis.
