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Also, there is disagreement in the comments about whether this can be done in each IRA or perhaps also in differing spousal IRAs.

I didn't include more quote, so for clarity, "this" above means calculating UBTI and determining whether a return is due.

There are varying schools of thought, none well attended. Some say you must aggregate everything then analyze. I maintain that it's account by account since each is a distinct legal entity. None of us has anything solid backing up our opinions, IOW the IRS has issued nothing beyond forms and instructions.

So, I continue to advise that MLP's in IRAs aren't a big problem, but repeat that it's more tax advantageous to hold them in a taxable account until you die, making full use of the tax-free cash cow nature of their distributions.

I do NOT roll my eyes. Well, not often, and then I try to do it when I'm off camera. I'm actually glad you posted the link since I learned something useful in the part of it that I read. I've always assumed that custodians will fee you blind for preparing a UBIT return, but I learned that at least one does it for nothing.

Rule Your Retirement Home Fool
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