@Mike9241 @nexchap
Mike9241, you stated the $3739 would reduce the basis of the MLP. I didn't take the $3739 as a distribution from the MLP, I took it as a distribution from the stock before it converted to a MLP based on the following comments in the 2021 K-1.
The Company distributed cash proceeds from the sale of a business to unitholders on October 7, 2021. A unitholder (including a unitholder who sold his/her units after the cash distribution record date of October 4, 2021) who received a portion of that cash is treated as having sold the majority of his/her Macquarie Infrastructure Corporation common stock contributed in the merger in exchange for the cash distributed (a “disguised sale”).
So I closed the book on the MLP stock in 2021, taking the cash distributions as an adjustment to the basis. The MLP was treated like a new purchase, which was only about $400. If the adjustment shown on the 2022 K-1 was in the neighborhood of $3800 or so, I would have concluded I should not have adjusted the basis of the stock on my 2021 taxes.
So best I can tell, I paid $191 for the MLP (cash in), I got a qualified dividend of $179 (which was deposited to my account), and I sold it for $411. There are no other distributions from the MLP. So I'm going to report a gain of $220 and be done with it.
I want to thank you guys for all your help. I hate it when 2 + 2 adds up to something other than 4, so I do my best to understand where the numbers come from. I'm just not going to be able to do that with this transaction, and nobody at MIC will explain it to me.
Again, thanks.
Do you see any errors in what I did in 2021?
