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Subject:  Re: Fidelity charging $300 to hold MLPs? Date:  12/16/2017  9:12 PM
Author:  buyandwin Number:  103 of 111

Did anyone here see the notice from Fidelity that they're going to start charging $300 per year in any account that holds an MLP? Wow!

Yes, it's true. They just announced it within the past couple of days.
Probably the reason is that the fed is stepping up their enforcement of UBIT in Tax sheltered accounts. It appears that profitable sales closing positions in an IRA will be considered UBIT and taxable over $1000.

Don't lose sight of the fact that an MLP is a tax sheltered investment, and it shouldn't be placed in a Tax Sheltered account in the first place. Investing an MLP in a tax sheltered acct loses many sheltered advantages for the investor.IMHO, It is best not to do it. It appears that Fidelity is also saying the same thing to alert investors of the potential (real) problem you will be exposed to.

Use this as a wake-up call from your broker, for you to take corrective action

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