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Investors & landlords
The best action to allow the LLC to deduct the interest is to create a loan or plan agreement with the LLC. They should pay you as a reimbursement which would allow them to write off the interest on the LLC return. Check with your legal advisor to be sure of the best method.
Any time there is more than one member they should develop an accountable plan so that expenses are reimbursed by the LLC which in turn allows the LLC to deduct the expenses directly attributable to the LLC.
- IRS Publication 463, (page 29)
[Edited: 04/14/2022 | 2:02p PST]
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‎April 14, 2022
2:01 PM