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Publicly Traded Partnerships

Definitions:

A Publicly Traded Partnership is any partnership that is traded consistently on an established securities market.  This definition does not include a publicly traded partnership treated as a corporation. A Publicly Traded Partnership that has effectively connected income, gain, or loss must pay withholding tax on any distributions of that income made to its non-US partners and report on Form 1042 and 1042-S.  The rate of withholding is currently 35 percent, but is subject to future tax law changes.

See Also: Publicly Traded Partnerships