After many discussions, Mari will receive a $30\%$ profits interest in ABC, LLC$,$ a real estate limited liability company. ABC has $4$ high quality leases with the U$.$S$.$ government. The leases have been in effect for five years and have another $10$ years to go before a renewal is required. Cash flow from the leases has always been certain and will be certain going forward. Mari will receive the interest for future management services; however, the $30\%$ profits interest will start on signing the agreement. Mari and the other members understand that receipt of a profits interest is not taxable to the recipient $($Mari$).$ They want to confirm this with you.After many discussions, Mari will receive a $30\%$ profits interest in ABC, LLC$,$ a real estate limited liability company. ABC has $4$ high quality leases with the U$.$S$.$ government. The leases have been in effect for five years and have another $10$ years to go before a renewal is required. Cash flow from the leases has always been certain and will be certain going forward. Mari will receive the interest for future management services; however, the $30\%$ profits interest will start on signing the agreement. Mari and the other members understand that receipt of a profits interest is not taxable to the recipient $($Mari$).$ They want to confirm this with you.