How To Collect Your First All American Gas Rebate Check
It starts out like this…..
Some smart Americans have begun collecting checks from a little-known government-guaranteed program.
It allows them to receive regular rebates for gasoline from the oil industry. (In some cases, people are filling up their tanks at no cost!)
These rebates arrive in the form of U.S. government-backed checks. And they are available to any American, regardless of income or employment status… In fact, you can collect a Gas Rebate check of up to $310 as early as January 18th…”
Very compelling, and it really makes you wonder what the heck they are talking about. To get straight to the point, they are talking about Master Limited Partnerships or MLPs. Energy MLPs specifically.
But what are Energy MLPs? These entities are also referred to as 10-86 Plans and marketed as Gas Pump Pay Back Plans, or Regan’s revenge. But are 10-86 plans worth investing in?
We previously went into detail about Energy MLPs or 10-86 Plans in an article called, “10-86 plan – Little-known loophole could triple investing“. Here we discuss existing 10-86 Plans or Energy MLPs, and how to find them.
First however, you may want to take a look at our article on Master Limited Partnerships. Then head over to the 10-86 Plan article and familiarize yourself.
In a nutshell, energy MLPs came were created due to a tax loophole in the Reagan era Tax Reform Act of 1986. It was meant for real estate investing and investment vehicles, however, it turns out that many aspects of oil and gas production fall under real estate. This raised some controversy and conspiracy theories as to who this part of the tax reform would actually benefit. As it turns out, investors in a good Energy MLP benefit handsomely.
Here is a good video that goes over MLPs:
Many of the best Energy MLPs are focused on pipelines. This is because, at this time, there is no shortage of oil demand, and the owners of the pipeline get paid no matter what the cost of a barrel of oil is. However, there are costs involved in running and administering pipelines.
MLPs carry some very good tax advantages for investors, however they can be a bit complex. Normally, they do not mesh well with IRA accounts. As with all investing, and planning for the future, deciding where to put your money should be weighted heavily. Once the money leaves your possession, you lose control of it. So put a great deal of thought into this decision. Treat an MLP like any investment, do your due diligence.
That being said, please read the related articles “10-86 plan – Little-known loophole could triple investing” and “Master Limited Partnerships“.