BDCs issue 1099's, not K-1's. It is important to remember that by paying 90% of their taxable earnings as dividends, BDCs avoid income tax at the corporate level. This also means that BDCs held in a taxable account generate dividends that are typically taxable at ordinary income rates, as opposed to the qualified dividend rate, although there is company-by-company and year-by-year variation in tax characteristics and each individual BDC will announce its own tax reporting information each year.