In addition to these two issues, several other comments on the proposed regulations were addressed. For example, more clarity was provided on pipeline compression services being a qualifying activity and the definitions of processing and refining were separated and expanded to be more inclusive. All in all, most people in MLP-land are happy with the final regulations. The majority of MLPs (unless they have a non-calendar fiscal year) will not be required to adhere to the new regulations until next year, as the rules will begin to apply “in a taxable year beginning on or after” January 24, 2017. Also, if an MLP is currently involved in an activity that is no longer qualifying under the new regs, they have a 10-year transition period where the activity will still be accepted as such.
Many speculate that the Trump Administration will not seek to re-write these regulations since the majority of stakeholders seem pleased with the final outcome. It doesn’t mean it couldn’t happen if both houses of Congress decided to pass a joint resolution of disapproval under the Congressional Review Act, but my guess is that Trump has bigger fish to fry than tweaking regulations that are generally energy-friendly.