sjrcpa
Level 15
03-09-2023
01:19 PM
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You do not claim a loss for redeeming a member's interest. For the LLC this is an equity transaction.
If member C has a loss on the transaction it goes on Member C's tax return only.
Other increase/decrease in capital is how you zero out C's capital account and transfer to A and B.
The more I know the more I don’t know.