Return of Capital

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Roadster
Posts: 110
Joined: Tue Dec 14, 2010 7:34 pm

Return of Capital

Post by Roadster »

Does anyone have a list of E&P cos whose declared "dividends" will actually be treated as a non-taxable return of capital? This could be significant in the future.
dan_s
Posts: 37310
Joined: Fri Apr 23, 2010 8:22 am

Re: Return of Capital

Post by dan_s »

It is unlikely that any of the Upstream C-Corps will be paying non-taxable dividends this year because to be non-taxable return of capital they must have negative current year taxable income and negative cumulative earnings & profits.

Most of the MLPs in our High Yield Income Portfolio pay quarterly distributions that are a least partially tax deferred return of capital.
Dan Steffens
Energy Prospectus Group
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