I'm putting together a start-up LLC and need to know if capital investment is taxed.?

I'm putting together a start-up LLC and need to find out if investment capital is taxed.?
This question is prior to capital gains, but regarding the first year of putting the cash into the company.

This is important because if capital investment is taxed, then I'll have to recalculate and add more money. If not, my current estimates are correct. Please note that this is for a U.S. LLC.

If you have a reference for where to find this answer, I'd also appreciate that.

Thanks.

An investment of your capital in any company is not taxed. The taxes have already been paid on any capital you may have accumulated. Your investment becomes your cost basis. If you plunk down $100,000 into a company and later sell your interest for $250,000 you will have either a long-term or short-term capital gain of $150,000 and be taxed accordingly.

If your share of the company's earnings are $30,000 you will be taxed on this whether or not you withdraw it from the company. Your cost basis is now $130,000. Later on if the company writes you a check on for $20,000 this is considered a return of capital and is not taxed. Your cost basis would now drop to $110,000.

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