75A-5-404. Receipts not normally apportioned -- Principal receipts.

203 words·~1 min read·/ut/title-75a/chapter-5/75a-5-404

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 9/1/2024

A fiduciary shall allocate to principal:

(1)to the extent not allocated to income under this chapter, an asset received from:

(a)an individual during the individual's lifetime;

(b)an estate;

(c)a trust on termination of an income interest; or

(d)a payor under a contract naming the fiduciary as beneficiary;

(2)except as otherwise provided in this part, money or other property received from the sale, exchange, liquidation, or change in form of a principal asset;

(3)an amount recovered from a third party to reimburse the fiduciary because of a disbursement described in Subsection 75A-5-502

(1)or for another reason to the extent not based on loss of income;

(4)proceeds of property taken by eminent domain, except that proceeds awarded for loss of income in an accounting period are income if a current income beneficiary had a mandatory income interest during the accounting period;

(5)net income received in an accounting period during which there is no beneficiary to which a fiduciary is permitted or required to distribute income; and

(6)other receipts as provided in Part 3, Unitrust.

Renumbered and Amended by Chapter 364 , 2024 General Session