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LLC Accounting & Taxes
Hello!
I purchased my first property a few years ago into an LLC, and have acquired a few more within the LLC since. I want to make sure that I am doing everything right to protect the limited liability status of the LLC. I am confident in my bookkeeping as it relates to the income/expense tracking schedules I utilize (all basic excel based), as well as what is reported on tax returns. What I am unsure of, is how important the flow of cash through bank accounts is. I have a separate business bank account for the LLC. When I started out, it was probably a bit sloppy. Even more recently, as an example, I accidentally deposited 2 rent checks into my personal account rather than the business account. I quickly transferred that money between the 2 accounts to get it in the right spot, but I'm curious if this could cause an issue with "piercing the veil" by commingling personal and business funds. If this simple mistake wouldn't, what would/could represent an issue? Or does the bank account activity not matter as much as long as it's reported on tax returns appropriately?
As a follow up, if this, or other minor infractions were an issue, what would be my course of action to correct? Comb through every single transaction over the last 4 years (since the LLC was created) and write up some sort of documentation? Or just create a new LLC, deed the properties over to that LLC, and start all over again fresh (making sure I am PERFECT going forward)?
Lots of questions.... thanks for your advice!