Start-up capital deduction?

[Claude Hodge]

Hey everyone! Been a while since I was on. I want to know what to expect come tax time. I started my L.L.C., and have a business checking account for it. For the entire year of 2009, I have been and will continue to put a monthly allotment of my personal money into the biz account. When I file my return this February, will that be tax deductible? I am sure they can tell me at H&R Block, but I like to know things ahead of time. I appreciate any responses!

Claude Hodge

[Jon Holdman]

If I understand correctly, you're talking about money you're moving from a personal account into your LLC business account. That won't show up on your taxes at all. Money the LLC actually spends will become a deduction. LLCs are pass through entities for tax purposes. Their expenses and income move to your personal return. So, moving money between the LLC's checking account and your personal checking account is irrelevent for tax purposes.

I'd find a real CPA, not just an H&R block tax preparer. You need real advice and guidance, not just someone to fill in the blanks. Find a CPA who invests in real estate, or who has clients who invest in real estate.