Freedom Checks: Matt Badiali’s Investment Discovery

Published on Author RM2000

Freedom Checks are a form of investment that was first popularized Matt Badiali. Matt Badiali is a member of Banyan Hill Publishing Company who originally began his career as a trained scientist. He was working as a professor of geology at the University of North Carolina whenever he was contacted by a member of the finance industry who offered him a position as an advisor as part of the team working on projects involving investment in the natural resources industry. Matt Badiali took the opportunity presented to him by this financial expert and was soon traveling the world as part of the project. It was during his travels as part of the research team that he was able to meet with industry leaders from the oil and gas industries. It was during these meetings that he was informed of Statute 26-F. Statute 26-F was a piece of legislation enacted by Congress in the 1980s that allowed the classification of a new type of corporation. If a corporation or to meet a specific set of requirements they would be eligible to operate tax-free. Read this article at Affiliate Dork.

Statute 26-F created a special classification for corporations known as Master Limited Partnership. A Master Limited Partnership is a corporation whose income is primarily generated through the processing, transportation, distribution, and development of oil and natural gas domestically within the borders of the United States of America. This corporation must pay out 90% of its revenues to its shareholders in the process of income distribution that is very similar to dividends in the traditional stock market. It is this process of income distribution that Matt Badiali is referring to when he speaks of Freedom Checks.

Freedom Checks represent a unique opportunity for the investor who wishes to generate a regular stream of income that is taxed at the capital gains rate of tax and not the personal income tax rate. Any profits that you received in the monthly or quarterly payouts from a Master Limited Partnership is treated as a return of capital and thus is only subject to the capital gains rate of tax which is significantly lower than the personal income tax rate. Matt Badiali recognized the significance of this finding and popularized it in a viral video in which he told the world about Freedom Checks. Currently, there are exactly 568 corporations in the United States of America the qualify as a Master Limited Partnership. View: