My understanding of US tax code is that if you do not exercise your rights in a RO, you do not have a taxable event. So, those of us who prefer to take a pass on the PLYD RO and just sit tight with our PSEC holdings may do so with some level of confidence that we are not exposing ourselves to any additional risk/reward. Am I correct in my thinking? Thanks.
Did you own KMI for 8 years or KMP? If KMP, then the last distribution per unit owned was indeed higher than the KMI dividend per share owned. That is the only thing I can think of; but I am guessing this isn't the case with you. Good luck with figuring it out.
I HIGHLY recommend that you read up on this topic -- it's been all over the internet since the merger was announced in August, 2014. Do some searches. Unfortunately, Yahoo removed the message board for KMP, which had some good discussion of likely tax consequences for long term KMP holders. Try some of the articles in Seeking Alpha and read through the comments to get up to speed on this.