What is a "unit?"
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It is a unit of beneficial interest, but basically it is the same thing as a share of stock. The units of the Trust are traded on the NYSE just like shares of stocks of other companies.
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Can I purchase/sell the units directly from/to you?
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No. The Trust cannot buy or sell the units. You will need to do that through your broker.
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Can I set up a DRIP (distribution reinvestment program?)
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No. The Trust cannot have a DRIP program set up. You may be able to set that up through your broker.
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Are there a minimum number of units that I have to purchase?
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No. That is a decision that you should make in conjunction with your financial advisor or broker.
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Is this a master limited partnership?
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No. The Trust is a grantor trust.
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Is there an end date to the trust?/How will the trust end?
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The Trust shall terminate upon the first to occur of the following events:
(a) The disposition of all of the Royalties pursuant to the terms of the Royalty Trust Indenture;
(b) At such time as the aggregate Gross Proceeds (as defined in the Conveyances) with respect to the Subject Interests for each of two successive years after the year 1999 is less than $1,000,000 per year;
(c) A vote in favor of termination by the Unitholders present or represented at a meeting held in accordance with the requirements of Article VIII of the Royalty Trust Indenture; or
(d) The expiration of twenty-one years after the death of the last survivor of the lawful descendants of any degree of the signers of the Declaration of Independence in being on the date of execution of the Royalty Trust Indenture.
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What happens when the Trust terminates?
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Once the decision has been made to terminate the Trust, the Royalty Properties will be sold for market value and the cash received from the sale less any applicable administrative costs will be distributed to the Unitholders of record at that time.
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My address information is incorrect/has changed. Can you please update your records?
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No. Neither the Trust nor the Trustee maintain any Unitholder records. You will want to contact your investment broker or the transfer agent (if you have a registered account) to make sure that they have the correct address in their records.
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When will the tax information be available?
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Although the deadline imposed by the IRS is not until April 1st, we generally have the booklets and yellow worksheets mailed by March 1st.
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Is the cash I receive from the Trust a qualified dividend?
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No. The distributions are considered royalty income and are ordinary income, taxed at your marginal rate.
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Are the cash distributions taxed at the 15% rate?
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No. The distributions are considered ordinary income and taxed at your marginal rate.
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Why aren't you providing me with a K-1?
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We are considered a grantor trust, not a partnership and do not have the same reporting requirements that a partnership does. The cash distributions are reported on a 1099-Misc form by your broker, or by the transfer agents for registered Unitholders.
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Why did I receive this/these yellow worksheet(s) and booklet?
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 The yellow worksheet contains important tax information for the current year just ended. You should compare the information regarding the number of units and dates you were a unitholder of record (located in the bottom half of the yellow sheet) with your records to determine that the correct information was reported to the Trust. Once you have determined that the information is correct, then you can use the dollar amounts (located in the center of the yellow sheet) to report on the appropriate schedules on your tax return. If the information is not correct, then you must determine your proportionate share of the Trust revenues and expenses using the tax booklet that was included with the yellow worksheets.
Please consult your tax advisor regarding all tax issues for your specific situation.
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The 1099 I received from my broker shows an amount that is different from what I calculate using the tax booklet/what is shown on the Unitholder yellow worksheet that you sent me. Why?
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If there is a difference between your records and what the yellow worksheet shows, then you should contact your broker to compare the number of units owned and the times for which those units were owned. You will need to calculate your proportionate share of the revenues and expenses for the Trust manually using the tax booklet that came with the yellow worksheet. We cannot provide an amended worksheet.
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I received two (or more) yellow worksheets with different amounts. Why?
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If you have changed brokers, added or made changes to accounts already with your broker; or if you hold units with more than one brokerage firm, you will receive a yellow worksheet for the units held with each firm. Sometimes if brokerage firms have merged, the information is not merged together into one system. All of the above scenarios can result with you receiving more than one yellow worksheet. Usually if you add the worksheets together, it will equal the total units you own for the period your records show you owned those units. If adding the yellow worksheets together does not match the information in your records, then use your records and the tax booklet to calculate your proportionate share of the trust income.
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The yellow worksheet I received has the incorrect number of units on it. Can you provide me with a corrected one?
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No. This information is contained in a static database that cannot be changed or amended. You will need to calculate your proportionate share of the revenues and expenses for the Trust manually using the tax booklet that came with the yellow worksheet.
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The yellow worksheet I received has the incorrect times I owned the Trust units on it. Can you provide me with a corrected one?
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No. This information is contained in a static database that cannot be changed or amended. You will need to calculate your proportionate share of the revenues and expenses for the Trust manually using the tax booklet that came with the yellow worksheet.
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Can you tell me how to input the information from the tax booklet into my tax preparation software?
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No. Your best course of action is to calculate your information using the forms provided in the booklet and then try and duplicate the forms in your software. If that doesn't work, you should call the software manufacturer and speak to them about the specific forms used and how to fill them out.
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I own my units in an IRA/tax-deferred account. Do I need to report this information on my tax return?
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No, you do not report any trust income in an IRA or other tax-deferred account.
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