How to Pull fund out from LLC after Refinance

[Aries Li]

Hi,

I have accumulated several single family houses in Indianapolis and was thinking about refinance and move them from my name to LLC. Assuming I was about the do a cash-out refinance using a portfolio loan, the fund will go into the business bank account of the LLC. My question is, If I move the money from the business account to my personal account ( so that I can buy/finance with my name again), would that introduce complication when filing tax return?

What's the best way to move money and buy again? Thank you!

[Andrew Postell]

@Aries Li this is the BRRRR Method forum. This forum tackles strategies with the BRRRR Method, how to acquire properties, financing, etc. Your question is more to do with taxes so I would suggest posting in the "Tax" forum. I mean, you have some responses here...but you'll get a lot more over there and probably from a few CPA types of contributors as well. There are several accounting methods that allow you to take a personal loan or a commercial/DSCR loan and fund your company with the monies without co-mingling - however, even that doesn't answer your tax question. It shouldn't have any tax implications when you take a loan no matter what type you take (we pay "Long-Term Capital Gains" taxes when we sell and usually a loan is not considered taxable income) but certainly post in the other forum for clearer information on the details here.

Thanks!