Disbursements from income
Sec. 38. A trustee shall make the following disbursements from
income to the extent that they are not disbursements to which section
18(2)(B) or 18(2)(C) of this chapter applies:
(1) one-half (1/2) of the regular compensation of the trustee and
of any person providing investment advisory or custodial
services to the trustee;
(2) one-half (1/2) of all expenses for accountings, judicial
proceedings, or other matters that involve both the income and
remainder interests;
(3) all of the other ordinary expenses incurred in connection
with the administration, management, or preservation of trust
property and the distribution of income, including:
(A) interest;
(B) ordinary repairs;
(C) regularly recurring taxes assessed against principal; and
(D) expenses of a proceeding or other matter that concerns
primarily the income interest; and
(4) recurring premiums on insurance covering the loss of a
principal asset or the loss of income from or use of the asset.
As added by P.L.84-2002, SEC.2.
Last modified: May 27, 2006