MLP ETFs | ETF Trends

MLP ETFs | ETF Trends

Here is an important article on MLP tax reporting and also about the ETF versions that avoid the K-1 tax form.  For example, if you own a regular MLP, you have to pay state taxes where the MLP operates even if you don't live there.  The MLP ETFs have a different set of problems including a lower return.  So, investors will have to decide which type of paperwork they want to deal with and whether or not they are satisfied with the total process.  If you get used to filling out K-1 forms, you may go for the larger returns.