Typically, as the unit holder's holding period increases and less depreciation is passed through to the unit holder, less of the unit holder's cash flow will be shielded from taxation. At that point, the investor may want to consider selling the old MLP and reinvesting the proceeds in a new MLP that will be able to shield more of the cash flow from taxable income. Alternatively, if the investor wants to retain ownership in the original MLP, the investor might purchase additional units in order to receive a step-up in basis in the partner's proportionate share of depreciable property on the new units, with the result that a greater percentage of cash flow will be shielded from taxation. -- Ref: OSUMAGHmmm....It would be interesting to try this on a small scale in part of the portfolio while retaining normal (static) positions in another part of the portfolio (at another IRA) and seeing whether this approach is an improvement. Definitely not something that I would normally do, because I never think about tax effects within my IRAs...and I usually make buy/sell decisions even in taxable accounts with the tax effects being secondary considerations.Thanks for the thought....RobRB Home Fool
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