Question details: I am a 4% member of a 2 person 6 year old LLC and have not received any distribution. I know the other member/manager has been living off the income (of whatever its called) from the LLC.My main concern is not receiving the distribution (but I would still like it) , but if I owe any taxes.From my understanding, I would owe taxes if the company has been profitable.I am trying to think of possible reasons why I have not received any distribution and if I owe any taxes. ThanksI understand.Not knowing all the facts, here is what it u2018soundsu2023 like.You are a u2018silentu2023 partner of the LLC and do not have any active role in the operations. You own 4% of the company.The u2018otheru2023 owner does play an active role, possibly running the company and owns the other 96%.The owner takes a u2018salaryu2023 from the LLC as his form of compensation, just the same as any president or CEO employee would, had he not been doing the job. Do not get this confused with a distribution. The money he takes is compensation for the work that he does, not for the shares he owns.Your concerns:If I am wrong about the money the other partner takes, then something is wrong. If the money taken is a distribution, then you are entitled to 4% of whatever is distributed to shareholders. If I am correct in the my assumption above, then nothing is wrong and you were entitled to nothing. Being a 4% owner, the exposure here is tiny. If he took $96, your share would have been $4.Your understanding is correct. The LLC should be preparing an u2018informationalu2023 tax return. The u2018entityu2023 itself does not pay u2018incomeu2023 taxes on its profits. An LLC is a u2018flow throughu2023 entity, which means that the profits u2018flow throughu2023 to he owners. This income is added or included on their personal tax return. You should review all the tax papers you received at year end. Youu2019re looking for a form called a u201cK-1.u201dIf the LLC made $100, your share of that income to report on your personal tax return is $4.If you did not receive any K-1, then something is wrong and you should talk to your partner or the company preparing your companyu2019s informational tax return. If your partner doesnu2019t have a clue what a K-1 is and you have no company preparing your companyu2019s tax returns, I suggest you get one - quickly. Without a K-1, your personal income tax return is wrong.