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While it's technically possible to pay a family member a salary from your private limited company, it's important to note that the IRS requires that any salary paid to an employee, including family members, must be for "reasonable compensation" for services rendered. This means that if your family member isn't actually performing any services for your company, paying them a salary could potentially raise red flags with the IRS.

If the IRS determines that the salary isn't reasonable compensation for services rendered, they could reclassify the salary as a disguised dividend, which could result in additional taxes and penalties. So, while it might seem like a good way to reduce taxes, it's generally not a good idea to pay a salary to someone who isn't actually working for your company.

As for giving shares, it's a different tax situation. When you give shares to someone, it could potentially trigger gift tax if the value of the shares exceeds the annual gift tax exclusion amount. However, the recipient typically doesn't have to pay tax on the shares until they sell them.

Remember, tax laws can be complex and every situation is unique, so it's always a good idea to make sure you're making the best decision for your specific circumstances.