UBTI is income earned by a tax-exempt entity from activities unrelated to its exempt purpose. Unrelated Business Taxable Income (UBTI) is the income earned by a tax-exempt entity from activities ...

Statutory Exceptions – Even if an activity meets the definition of an unrelated trade or business, it may not be subject to tax if it meets the following criteria: Modifications to Income – The ...

This income is subject to Unrelated Business Income Tax (UBIT), generally imposed at a rate consistent with the jurisdiction's corporate income tax rate. RIT is required to identify and report any ...

Unfortunately, that's sometimes not an option for an MLP because of something called unrelated business taxable income, or UBTI, that can leave investors owing tax on assets in a retirement account.

1.513-1(d)(3)). If the activity is determined to likely generate unrelated business taxable income (i.e., be subject to UBIT), the department will need to complete a Unrelated Business Income (UBIT) ...