Real Estate transaction tax question
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