Ok now we need to talk about "employees" ... if this multimember LLC is being taxed as an S-corp and you are paying wages to the employees and filing proper payroll tax reports then yes it could be a deduction for the S-corp. So are you filing a Partnership or S-Corp return ? I highly suggest you seek local professional assistance to be educated on which business entity would be best for your situation and learn of the required fed/state filings that go with it.
