Investment Account Manager Forum

General Category => Transactions => Topic started by: Castiel123 on March 28, 2015, 02:17:29 PM

Title: Master Limited Partnerships
Post by: Castiel123 on March 28, 2015, 02:17:29 PM
I was wondering if anyone else has dealt with Master Limited Partnerships as an asset class in IAM. IAM does not have MLP's as one of it's default asset choices, but I think it may be possible to track MLPs and an "Other investment" class. My main concern is tracking the diminishing cost basis of the MLP units for eventual capital gains treatment. Any suggestions would be appreciated.
Title: Re: Master Limited Partnerships
Post by: Matt Willms on March 28, 2015, 02:44:24 PM
You are on the right track, classify these as 'Other Investments'.  You can record the ROC as they occur, reducing the cost basis of the MLP as necessary for tax basis record keeping.  If you have add'l questions, please let us know.

Matt
Title: Re: Master Limited Partnerships
Post by: Castiel123 on March 29, 2015, 01:27:32 PM
Thanks Matt.

I've just started investing in MLP's, but it appears that I won't know the breakdown of the distributions (income, cap gains, ROC, etc) for a particular tax year until I receive the K-1's in Mar-Apr of the following year. I would like to input the distributions as they come in but reconcile the amounts with the different categories once I receive the K-1. Do you know if this is possible in IAM? Otherwise, it seems that I have to wait to make all the entries for the entire year after I receive the K-1.

Thanks in advance!

Andy
Title: Re: Master Limited Partnerships
Post by: Matt Willms on March 30, 2015, 09:32:41 AM
Andy, you can make the entries as they happen, and change later; although given the complexity the K1's can cause at year end, you may want to wait to enter those activities until when you receive them prior to tax filing...

Matt