The Federal Energy Regulatory Commission announced that it will no longer allow master limited partnership pipelines to recover an income tax allowance in cost-of-service rates, marking a potential win for companies that ship products across the links. The policy change stems from a ruling by the District of Columbia Circuit that found that because partnership pipelines don’t incur entity-level taxes and already receive a pre-tax return on equity to attract investments, the collection of a tax allowance in rates amounts to double recovery of income tax costs. The case is United Airlines Inc. v. FERC (11-1479).