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With TOO, part of the distribution may (will) be "return of capital". Although not being taxed at the time of distribution, it does reduce your cost basis and will increase the gains tax when sold (if at a profit of course). This is because, I believe, it's actually a partnership choosing to be taxed as a C-Corp. Consult your tax professional for details.
Sep 30 00:10 am
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All Comments by No Free Cake »5 Excellent, Non-Pipeline Income Stocks [View article]
This isn't good or bad, just something to be aware of. It's not the same as a "normal" dividend from a vanilla C-Corp.
See their site for details:
www.teekayoffshore.com...