I had to get a personal loan for a piece of equipment for my business(LLC). The business makes the payments on it, do I write the payment off as equipment rental ?

First year in business so I couldn't get a loan through the company so I got one personally for a skid steer and attachment. The company had made most of the payments on it. since I don't own it out right and its not in the company's name would I write the payments off as equipment rental?

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1 Best answer

Expert Alumni

Jun 3, 2019 11:27:48 AM

It looks like you are a single member LLC fliing on Schedule C. As far as the IRS is concerned, you and your business are one in the same. I would treat it as if the loan and the equipment as if the business had borrowed the money and bought the equipment.

Expert Alumni

Jun 3, 2019 11:27:48 AM

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I had to get a personal loan for a piece of equipment for my business(LLC). The business makes the payments on it, do I write the payment off as equipment rental ?