Master limited partnerships can turn their tax advantages into big yields for you. Thinkstock By Carolyn Bigda, Contributing Writer and Kathy Kristof, Contributing Editor May 11, 2015 Though master limited partnerships trade like stocks, these securities have unique tax benefits that allow them to “pass through” all their income to investors, without paying corporate taxes. That generally results in solid yields.See Also: 43 Ways to Boost Income on Your Savings and Investments What could go wrong: Special tax treatment for MLPs is specifically designed to help foster energy infrastructure in the U.S., so most partnerships are tied to the oil-and-gas industry. Not surprisingly, MLP share prices fell sharply as oil prices crashed over the past year. From its peak last August 29 through its January 13 low, the Alerian MLP index surrendered 21%. Hardest hit were MLPs that generate their income from exploration for and production of oil and gas. Keep in mind, too, that if you invest in an MLP, you’ll have to contend with a K-1 partnership form come tax time. How to play them: Carefully. For starters, avoid funds that focus on MLPs. They lose the pass-through benefits that individual MLPs enjoy. As for individual firms, Kiplinger’s columnist Jeffrey Kosnett focuses on safety, so he prefers MLPs that “move, process and store all the oil and gas that drivers and everyone else will continue to consume.” His favorites: Enterprise Products Partners (EPD, $33, 4.5%), Magellan Midstream Partners (MMP, $77, 3.6%) and Plains All American Pipeline (PAA, $49, 5.5%). Via Email: Free Energy Alerts from Kiplinger Tim Plaehn, analyst for income investing at Investors Alley, a research service, likes Plains, too. He also favors so-called logistics MLPs, which provide services that facilitate the movement of crude oil and refined products. His recommendations: Delek Logistics (DKL, $44, 4.7%), PBF Logistics (PBFX, $23, 5.8%) and Western Refining Logistics (WNRL, $29, 4.6%). For a mega-yield, Plaehn suggests Oneok Partners (OKS, $41, 7.7%), which gathers, processes, stores and transports natural gas.