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Old 05-09-2017, 01:38 PM
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Join Date: May 2017
Posts: 6
member loan to LLC

Dear Sir

AB LLC ( 2 members) filed tax return form 1065 .
Each member contributed cash $100 as initial capital .
Member A gave a personal loan of $11,000 to AB LLC .
Member B gave a personal loan of $12,000 to AB LLC .
Do these loan qualified as RECOURSE liabilities to partners ( though its considered non recourse to AB LLC ) .And thus disclose the loan amount in sch K-1 item L (partner share of liabilities) .
Thus ,member A sch K-1 item L (partner share of liabilities) will show $11,000 and Member B sch K-1 item L (partner share of liabilities) will show $12,000.

Kindly advice if the above understanding is correct .

Thanks
JLYS



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