Dear Guru,

I invested in an LLC dedicated to real estate. According to a lawyer, the best way was to incorporate a corporation, and so we did. The corporation received the K1 of the company. Any money received from the investing company was deposited into the corporation's bank account and distributed to myself. When the tax time came around the tax preparer, generated 1099 as other income for the money distributed to myself, as an expense of the C corp so that no tax would be pay at the corporate level. All the income was subsequently reported in my personal tax return.

is this figure correct, and if so, would it pass an audit if challenged?