Yes but to be clear, you're not taxed for capital gains in a KF, only for dividends. This is why a capital gain (buy back) would be preferred over dividends from a pure tax POV. Dividends are better for other reasons though since it may attract a different group than buybacks would.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.