Law360, New York ( October 22, 2014, 2:43 PM EDT) -- When granting equity-based compensation to service providers, pass-through entities, such as partnerships and limited liability companies, have opportunities that are unique when compared to corporations. The tax consequences to the recipient of a partnership or membership interest in exchange for services rendered depend, however, upon the characterization of the interest as a "capital interest" or a "profits interest."...
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