Whether or not the units are traded on an exchange has no bearing. All companies have a value regardless of being public or private. That is the whole premise behind the profits interest and capital interest. A profits interest has no bearing on the profitability of the entity when issued.
You can certainly disagree with my statement that you should not be paid via W-2. Just that I have over 25 years in tax, specialized in the partnership tax area and have taught partnership tax. So I do believe I know this area.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
