Principal receipts

Checkout our iOS App for a better way to browser and research.

§7-444. Principal receipts

A trustee shall allocate to principal:   [PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

1.  Assets received.  To the extent not allocated to income under this Part, assets received from a transferor during the transferor's lifetime, a decedent's estate, a trust with a terminating income interest or a payor under a contract naming the trust or its trustee as beneficiary;  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

2.  Received from sale, exchange, liquidation or change in form of asset.  Money or other property received from the sale, exchange, liquidation or change in form of a principal asset, including realized profit, subject to this subpart;  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

3.  Reimbursements because of disbursements.  Amounts recovered from 3rd parties to reimburse the trust because of disbursements described in section 7‑462, subsection 1, paragraph G or for other reasons to the extent not based on the loss of income;  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

4.  Proceeds of property taken by eminent domain.  Proceeds of property taken by eminent domain, but a separate award made for the loss of income with respect to an accounting period during which a current income beneficiary had a mandatory income interest is income;  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

5.  Net income without beneficiary.  Net income received in an accounting period during which there is no beneficiary to whom a trustee may or must distribute income; and  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

6.  Other receipts.  Other receipts as provided in sections 7-448 to 7-455.  

[PL 2017, c. 402, Pt. A, §2 (NEW); PL 2019, c. 417, Pt. B, §14 (AFF).]

SECTION HISTORY

PL 2017, c. 402, Pt. A, §2 (NEW). PL 2017, c. 402, Pt. F, §1 (AFF). PL 2019, c. 417, Pt. B, §14 (AFF).


Download our app to see the most-to-date content.