My wife & I own (50/50) an LLC that holds one asset: a rental property. The property has a mortgage against it that is n the name of the LLC but recourse to us personally. After we bought the LLC and before we set up a checking account for the LLC, the first mortgage payment was due. I paid the mortgage payment out of our personal checking account (jointly owned by my wife & I).
Question: Is the amount of the mortgage payment we made directly to the lender considered a capital contribution to the LLC? And is the interest portion of that payment an expense of the LLC for tax purposes? Or should I just leave it out of the LLC's financials entirely since we paid directly from our account to the lender?
Thanks!
