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Strategies & Market Trends : Income Taxes and Record Keeping ( tax )

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To: Willitsoar who wrote (5767)8/24/2022 12:18:03 PM
From: Elroy   of 5810
 
I own an MLP in my Roth. MLPs sometimes throw off income called UBTI. If the amount is more than $1,000 per year, and the MLP is held in a tax advantaged account, then the tax obligation on the amount above $1,000 is (I think) 37%.

So, it may make more sense to transfer the MLP from a Roth into a regular account, and thereby avoid this UBTI situation.
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