I am kind of new at MLP investing. Can anyone recommend a good book on how to deal with the complexities of dealing with K-1s, quarterly distributions and figuring cost basis for income tax purposes? TIA
The only cases where what you says works is: KMR and EEQ. Pay outs only in stock.
Exception is fractional shares (there is no rounding). At many brokers a part of one share is sold each quarter and you do get a few bucks cash to report.
Getting back to the original question...
assuming NOT a joint account, does the act of placing the brokerage account with the MLPs into a living trust, interfere with the basis step-up on death?
You are right. On our new trust's they are set up the xxxxx family trust and xxxxx TTEE and under that xxxxTTEE. We did have to open new accounts and transfer stocks to them.. My wife has her own IRA and I have mine. We were in agriculture and she worked with me, but I gave her a W-2. Thanks for the good information you have posted.....
You may want to check that stuff. When my wife and I set up our living trust, I had to open a new account (labeled as the XXXX family Living trust, etc)and move all exisitng positions into it). And I don't know how you can have your wife on your IRA (although you can certainly designate her as a beneficiary it thats what you mean)
Actually my accounts are under the living trust and on my wifes her name is on top, but my name is under hers. On my accounts it is reverse. Maybe we are joint acounts ,but different account numbers. my old trust from 1990, only had our own names on each account. I had trust updated in 2009. Everyone has their own idea on what is best for their situation. I am 75 and still learning.
I believe it is best not to have joint accounts with your wife or husband. I have my wife on regular account & IRA. I have my own regular account & IRA. I did have a top estate attorney set up my trusts. My home is also owned by trust.