Purchase property in personal name on behalf of the business

[Jay Gibbs]

Hello Everyone,

I have a tax question that has been bugging me because I cannot get a clear answer. So in 2021 my partner and I purchased 2 properties in our personal names on behalf of our business. Our business also has 2 other partners which makes it a total of 4 partners (partnership LLC). We could not close on these 2 properties in our business name for reason I will not get into at the moment, but here we are with these 2 properties. Our loans are held with a Hard money lender, so the loans do not show on our personal credit report. The down payments were paid with business funds as well as the renovation cost. We were unable to complete the renovations in 2021 and plan on selling both properties in 2022. My question is, since we purchased these 2 properties in our personal names on behalf of the business, can these purchases and renovation cost be claimed on our 2021 business tax return? Or does this information has to go on our 2021 personal tax return? Can someone help with this?