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URL:  http://boards.fool.com/that-said-holding-the-units-in-a-taxable-account-30578172.aspx

Subject:  Re: MLP in IRA recapture question Date:  3/7/2013  6:08 AM
Author:  TMFPMarti Number:  117973 of 121565

That said, holding the units in a taxable account is not a panacea...you still have to keep track of your adjusted basis and keep an eye on UBTI

You've gotten confused somewhere along the line. UBTI is a concern only for tax-exempt entities, e.g., IRAs. When you hold an MLP in a taxable account and your basis reaches zero because of returns of capital you start paying tax on future distributions. Likewise if there's ordinary income to report.

Phil
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