75A-5-405. Receipts not normally apportioned -- Rental property.
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/ut/title-75a/chapter-5/75a-5-405·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Effective 9/1/2024
75A-5-405. Receipts not normally apportioned -- Rental property.
(1)To the extent a fiduciary does not account for the management of rental property as a business under Section 75A-5-403 , the fiduciary shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease.
(2)An amount received as a refundable deposit, including a security deposit or a deposit that is to be applied as rent for future periods:
(a)shall be added to principal and held subject to the terms of the lease, except as otherwise provided by law other than this chapter; and
(b)is not allocated to income or available for distribution to a beneficiary until the fiduciary's contractual obligations have been satisfied with respect to that amount.
Renumbered and Amended by Chapter 364 , 2024 General Session