Which of the following statements regarding limited partnerships that are not being disposed of in a taxable transaction is CORRECT?

1. Losses from a master limited partnership (MLP) may only be used to offset income from the same MLP.
2. Losses from a nonpublicly traded limited partnership may only be used to offset income from another nonpublicly traded limited partnership.

A)

I only

B)

II only

C)

Neither I nor II

D)

I and II