Nexchap, thanks for your help. You also helped last year on a MLP question.
The K-1 was confusing. As you said, the Beginning Capital Amount for 2021 was zero.
There is a line item "Capital contributed during the year", which is $191.
There is a line item "Current year net income (loss), which is $177.
These two values come to Ending Capital Account, which is $368. This is very close to the $371 that was the closing price on the first trading day as an MLP.
On the same date as the conversion, the MLP immediately paid a $179 qualified dividend, which is shown on the K-1 in lines 6A and 6B.
I'm getting various opinions on the reportable transaction. I talked to someone at Turbotax help, who stated options 1 & 2. I have a friend who is a retired CPA, and he came up with option 3. I have a call into my broker to discuss adjusting the basis.
What date is the Ending Capital Account valid for? I assumed it would be the end of 2021, rather than the value associated with opening the account.
Again, thanks for the help.
