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  • Yes, Virginia, There are High Dividend ETNs  [View article]
    On having a bit of an MLP in more than one tax sheltered accounts...

    I'm surprised to learn from d_teller that the less than $1k unrelated business taxable income is summed across your different tax sheltered accounts. Are you sure? They have different account numbers and some are with different brokerages -- are they added up by my ssn? I thought each account had its own $1k limit for UBTI. Now I have to go back and redo my math, I'm not in the clear by as much as I thought I was. Eeeek! this would be a disaster! Good thing these are recent additions and I probably still have a total less than $1k.

    Yes, the below statement from KMP suggests that all or nearly all of their distributions will be UBTI.

    Employee benefit plans and most other organizations exempt from federal income tax, including individual retirement accounts and other retirement plans, are subject to federal income tax on unrelated business taxable income. Virtually all of our income allocated to a common unitholder which is a tax-exempt organization will be unrelated business taxable income...
    Aug 29 17:29 pm |Rating: 0 0 |Link to Comment
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