I thought I was cutting a fat hog until I learned about UBI taxes.

I was buying up shares of MLP's with good distributions and putting them in a tax advantaged account my HSA.  Cool, no taxes, right?


Wrong.  UBIT rules state that income generated from these distributions in excess of $1000/yr will be taxed at the corporate rate.  That rate, for me at least, is lower than my income tax rate but still dings my returns a little.


Just an FYI.