Accounting Question - Tenant Paid Utilities

[Jake Sablosky]

Howdy BP! 

I have a business accounting question. I own a 4-plex in an LLC that has shared water and gas. I am using QBO and want to account for utilities that I initially pay for (since they are shared throughout the building), and then the tenants reimburse me for each month (each unit pays a % of the total).

Currently, I book it as "Utility Income" and it is offset with "Utility Expense." For reporting purposes, I think this will inflate both my income and expenses. It is really paid by the tenants and just flows through me. 

Could I account for it as a liability? Or something along those lines?