Tax
TC PipeLines, LP (the Partnership) was a publicly traded limited partnership until the merger with TC Energy effective March 3, 2021.
Key 2021 tax information can be found below.
Other information on the website will not be maintained but will be available for reference until June 2023.
The Partnership determines taxable income annually and allocates it to the partners on Schedule K-1 in accordance with the Partnership agreement. Partners are required to include their share of the Partnership's taxable income on their tax return and add the amount to the tax basis of their units. The amount of taxable income allocated may exceed or be less than the amount of cash distributed in the year. Generally, cash distributions are considered a return of capital and reduce the tax basis of a partner's units. Please note, the Partnership generates income that is eligible for the Section 199A 20% tax deduction.
Schedule K-3
Former unitholders of TC PipeLines, LP who held an interest during 2021 may now access their 2021 Schedule K-3 tax information (including certain international tax information) online at taxpackagesupport.com/tcpipelines.
If you have questions concerning your tax information, or would like to receive an electronic copy of your Schedule K-3 via email, please call Tax Package Support between 8:00 a.m. and 5:00 p.m. Central Time at this toll-free number.
1-877-699-1091 (Toll-free)
For more details see news release: 2021 Schedule K-3 tax information now available for former unitholders of TC PipeLines, LP.
TC PipeLines, LP will not be preparing any partnership tax reporting information that may be required for jurisdictions outside of the United States.
Frequently asked questions
TC PipeLines, LP is a publicly traded limited partnership consisting of one general partner and many limited partners (the investing public or “unitholders”). Therefore, all income and expenses flow through to the partners to be reported on their individual tax returns. Annually, the Partnership mails each partner a tax package that includes a Schedule K-1, a State Schedule, an Ownership Schedule, a Sales Schedule and other information relevant to their tax reporting obligations. Also, the Partnership is required to file a Form 1065 with the IRS which includes a Schedule K-1 for each partner reporting their respective share of taxable income and other IRS prescribed items. Consult your personal tax advisor for proper reporting of your tax package amounts.
How can I obtain a copy of, or make corrections to, my tax package (including Schedule K-1)?
For information about Tax packages, visit or phone:
1-877-699-1091 (Toll-free)
Write to us at:
TC PipeLines, LP
K-1 Tax Package Support
P.O. Box 799060
Dallas, TX 75379-9060
The Partnership will use the information that you provide to update its records and will send you corrected tax information.
Why am I receiving a Schedule K-1 rather than a Form 1099?
Form 1099's are used to report dividends and interest (among other items), rather than partnership information.
Do I report any cash I received as my taxable income?
No. You should report the income items shown on your Schedule K-1 provided to you by the Partnership.
Why is the amount of cash I received different than the amount I have to report on my individual income tax return?
The cash you receive is a return of capital and represents your share of the Partnership's available cash. The amount you are required to include in your individual income tax return is your share of the Partnership's income and related items, allocated based on the number of units you owned during the year and reported on your Schedule K-1. These amounts differ due to changes in cash flow and depreciation (a non-cash expense).
How is my basis affected by cash distributions and partnership net income?
The cash distributions you receive are a return of capital and decrease your basis in the Partnership. At year end your basis is increased by your share of the Partnership's taxable income allocated to you on your Schedule K-1.
Is TC PipeLines, LP registered as a tax shelter?
The Partnership is registered as a tax shelter. The tax shelter number assigned by the IRS is 99140000010. This number should be used when completing Form 8271, Investor Reporting of Tax Shelter Registration Number.
What States do I have to file tax returns in as a result of owning TC PipeLines, LP common units?
In addition to the filing requirements of the state in which you live, you may be required to file a non-resident tax return in the states in which the Partnership operates. The Partnership operates in twenty-three states, nineteen of which impose income tax on a Partner's share of Partnership income allocable to such state. The states with Partnership operations as well as an income tax are Arizona, California, Connecticut, Idaho, Illinois, Indiana, Iowa, Maine, Massachusetts, Michigan, Minnesota, Montana, Nebraska, New Hampshire, New York, North Dakota, Oregon, Vermont, and Wisconsin. Nevada, South Dakota, Washington and Wyoming also contain partnership operations but do not impose an income tax.
For more information:
- State specific Schedule K-1 forms are available on our tax reporting site.
- Consult your personal tax advisor for proper reporting of your tax package amounts.
Where do I find my share of Qualified Publicly Traded Partnership Income for purposes of computing my new 20% deduction under IRC Section 199A?
Your share of Qualified Publicly Traded Partnership Income for this purpose can be found on Schedule K-1, Line 20Z.
Discuss this item with your personal tax advisor to ensure you maximize your deduction under the law.
What happens if my ordinary income allocation is negative?
If your Schedule K-1, Box 1, shows a loss, this loss is subject to passive activity loss limitations for this partnership only making them not deductible currently. Instead the passive losses are accumulated and carried forward. Passive losses which are limited in a certain period can be deducted in later years when you are allocated income from this partnership or when units are sold. Discuss this item with your personal tax advisor to ensure you maximize your deduction under the law.