I give up on the idiotic posts in the other thread.
The rule is simple. If the total of the positive numbers on line 20V in ALL your K-1s inside an IRA total $1000 then the custodian (broker) is required to file a 990T return. The custodian can charge you for the filing and will charge you for the taxes. You are required to send them the K-1s. Negative numbers do not offset positive numbers. And yes you can file a return in a year you have lots of negative numbers to protect and carry forward those negatives to offset positive UBTI in the future.
It does not matter ROTH or traditional IRA. Yuo also need to speak to a specialist regarding taxation and MLPs at the broker. The average broker agent does not know the rules and most CPAs will need to look them up.
I was able to enter my early withdraw from my tax deferred IRA into H&R block just fine. They would be pretty much worthless if you could not. Vanguard send out 1099's for activity on an account. 1099's are fairly standard forms.
You are not talking about a program to handle UBTI INSIDE an IRA. You are saying your program handled a 1099. 1099s are not "fairly standard forms", they are standard and issued by the US Givt for every Social Security recipient, insurance companies and others for pensions. Agree if a program cannot handle that it is worthless.
The point is that we are still waiting for you to tell us what tax software will tell you if your IRA owes UBTI.
Do you run your K-1s from your MLPs through software for IRAs? What software do you use for that? TTax, TaxAct or the other public programs will not handle UBTI or IRAs. For example TTax does not show 990T as a form.If you have a software package that will handle UBTI in an IRA, PLEASE share its name with us. OK?
And yes you can back file a 990T to lock in losses.
Amended returns can be submitted 3 years after filing. As I did not file 990-T in past years, can I file amended return with the 990-T to capture past three years of negative UBTI for MLP's held in my IRA?
Yes. You can actually file back forever as you are not asking for a refund. A 990T takes only a few minutes to file. Depending on who is the custodian for your IRA, they might well file it at no cost if you send them the K-1s with negative UBTI on Line 20V.