Hello
My wife and I each own 50% of an LLC. We purchase health insurance in our names and pay for it ourselves. We file a Form 1065 for the LLC as a partnership. Lets say the cost was $25,000 for the year paid by us. Is the correct way to handle this to record the $25,000 on the LLC as an expense with an offset to increase distributions due to the partners, and then to show the $25,000 as a guaranteed payment to the partners, which would appear on the K-1 ? Thanks
