Real Estate transaction tax question

[Cindy He]

Hi all,

I have some newbie real estate tax questions.

We're getting a private loan from parents to purchase a flip. 

They're going to wire money directly into my LLC checking account. I'm just wondering what I do at the time of sale to prove I'm need to pay them back with interest, so I don't end up paying tax on the full sale amount? Will title take care of that for me? Do I still need to send 1099-INT? Also if I pay contractor at closing from title, do I still need to file 1099-MISC?

Thank you,

Cindy