PBR decided to form a limited liability company (taxed as a partnership). Allie and Cliff will each own 50% of the outstanding units, and both will provide seevices to the LLC as managing members. Allie and Cliff will wach be paid $100,000 annually for those services. During the 2023 yax year, PBR generated a taxable income of $750,000 ($950,000 less $200,000 paid to Allie and Cliff for their services) and reported total W2 wages paid to employees of $500,000.