Transfer of interest in LLC

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#1
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24-Jan-2017 1:57am
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Guam
Hi guys,

I have a question if you guys can help me out.
I have a client who is a member of LLC (taxed as C corporation) which has several members.
He (buyer) just acquired 25% of interest from another member (seller) for $20,000 less than what the other member paid for.
At company level, should there be any journal entries to account for that $20,000 change or is that just capital loss on seller member side? Would journal entries simply be dr. seller (equity account) & cr. my client (equity account)?
 

#2
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21-Apr-2014 11:24am
Location:
North Carolina
The few multi-owner C corps that I have done, a sale from one individual to another never involved any journals. It was simply recorded in the share register.
 

#3
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61
Joined:
24-Jan-2017 1:57am
Location:
Guam
SumwunLost wrote:The few multi-owner C corps that I have done, a sale from one individual to another never involved any journals. It was simply recorded in the share register.

Thank you.
 


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