Code of Virginia - Title 55 Property And Conveyances - Chapter 15.1 Uniform Principal And Income Act
- 55-277.1 Short title
This chapter may be cited as the Uniform Principal and Income Act. (1999, c. 975.) ...
- 55-277.2 Definitions
In this chapter: "Accounting period" means a calendar year unless another twelve-month period is selected by a fiduciary. The term includes a portion of a ...
- 55-277.3 Fiduciary duties; general principles
A. In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of Articles 2 (§ ...
- 55-277.4 Fiduciary's power to adjust
A. A fiduciary may adjust between principal and income to the extent the fiduciary considers necessary if the fiduciary invests and manages trust assets as ...
- 55-277.4:1 Total return unitrust
A. As used in this section: 1. "Disinterested person" means a person who is not a "related or subordinate party" (as defined in § 672 ...
- 55-277.5 Determination and distribution of net income
After a decedent dies, in the case of an estate, or after an income interest in a trust ends, the following rules apply: 1. A ...
- 55-277.6 Distribution to residuary and remainder beneficiaries
A. Each beneficiary described in subdivision 4 of § 55-277.5 is entitled to receive a portion of the net income equal to the beneficiary's fractional ...
- 55-277.7 When right to income begins and ends
A. An income beneficiary is entitled to net income from the date on which the income interest begins. An income interest begins on the date ...
- 55-277.8 Apportionment of receipts and disbursements when decedent dies or income interest begins
A. A trustee shall allocate an income receipt or disbursement other than one to which subdivision 1 of § 55-277.5 applies to principal if its ...
- 55-277.9 Apportionment when income interest ends
A. In this section, "undistributed income" means net income received before the date on which an income interest ends. The term does not include an ...
- 55-277.10 Character of receipts
A. In this section, "entity" means a corporation, partnership, limited liability company, regulated investment company, real estate investment trust, common trust fund, or any other ...
- 55-277.11 Distribution from trust or estate
A trustee shall allocate to income an amount received as a distribution of income from a trust or an estate in which the trust has ...
- 55-277.12 Business and other activities conducted by trustee
A. If a trustee who conducts a business or other activity determines that it is in the best interest of all the beneficiaries to account ...
- 55-277.13 Principal receipts
A trustee shall allocate to principal: 1. To the extent not allocated to income under this chapter, assets received from a transferor during the transferor's ...
- 55-277.14 Rental property
To the extent that a trustee accounts for receipts from rental property pursuant to this section, the trustee shall allocate to income an amount received ...
- 55-277.15 Obligation to pay money
A. An amount received as interest, whether determined at a fixed, variable, or floating rate, on an obligation to pay money to the trustee, including ...
- 55-277.16 Insurance policies and similar
A. Except as otherwise provided in subsection B, a trustee shall allocate to principal the proceeds of a life insurance policy or other contract in ...
- 55-277.17 Insubstantial allocations not required
If a trustee determines that an allocation between principal and income required by §§ 55-277.18, 55-277.19, 55-277.20, 55-277.21, or § 55-277.24 is insubstantial, the trustee ...
- 55-277.18 Deferred compensation, annuities, and similar payments
A. In this section, "payment" means a payment that a trustee may receive over a fixed number of years or during the life of one ...
- 55-277.19 Liquidating asset
A. In this section, "liquidating asset" means an asset whose value will diminish or terminate because the asset is expected to produce receipts for a ...
- 55-277.20 Minerals, water, and other natural resources
A. To the extent that a trustee accounts for receipts from an interest in minerals or other natural resources pursuant to this section, the trustee ...
- 55-277.21 Timber
A. To the extent that a trustee accounts for receipts from the sale of timber and related products pursuant to this section, the trustee shall ...
- 55-277.22 Property not productive of income
A. If a marital deduction is allowed for all or part of a trust whose assets consist substantially of property that does not provide the ...
- 55-277.23 Derivatives and options
A. In this section, "derivative" means a contract or financial instrument or a combination of contracts and financial instruments which gives a trust the right ...
- 55-277.24 Asset-backed securities
A. In this section, "asset-backed security" means an asset whose value is based upon the right it gives the owner to receive distributions from the ...
- 55-277.25 Disbursements from income
A trustee shall make the following disbursements from income to the extent that they are not disbursements to which subdivision 2 b or 2 c ...
- 55-277.26 Disbursements from principal
A. A trustee shall make the following disbursements from principal: 1. The remaining one-half of the disbursements described in subdivisions 1 and 2 of § ...
- 55-277.27 Transfers from income to principal for depreciation
A. In this section, "depreciation" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a ...
- 55-277.28 Transfers from income to reimburse principal
A. If a trustee makes or expects to make a principal disbursement described in this section, the trustee may transfer an appropriate amount from income ...
- 55-277.29 Income taxes
A. A tax required to be paid by a trustee based on receipts allocated to income must be paid from income. B. A tax required ...
- 55-277.30 Adjustments between principal and income because of taxes
A. A fiduciary may make adjustments between principal and income to offset the shifting of economic interests or tax benefits between income beneficiaries and remainder ...
- 55-277.31 Expenses and receipts; nontrust estates
A. The provisions of this chapter concerning the allocation and apportionment of receipts and expenses to principal and income shall govern the allocation and apportionment ...
- 55-277.32 Uniformity of application and construction
In applying and construing this Act, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter ...
- 55-277.33 Application of chapter to existing trusts decedent's estates and nontrust estates
This chapter applies to every trust, decedent's estate or nontrust estate existing on January 1, 2000, except as otherwise expressly provided in the will or ...
Last modified: April 3, 2009