Revised Code of Washington - RCW Title 11 Probate And Trust Law - Chapter 11.104A Washington Principal And Income Act Of 2002

11.104A.001 Short title
This chapter may be cited as the Washington principal and income act of 2002.[2002 c 345 § 101.] ...
11.104A.005 Definitions
In this chapter: (1) "Accounting period" means a calendar year unless another twelve-month period is selected by a fiduciary. The term includes a portion of ...
11.104A.010 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 this chapter, a ...
11.104A.020 Fiduciary's power to adjust
(a) A trustee may adjust between principal and income to the extent the trustee considers necessary if the trustee invests and manages trust assets as ...
11.104A.030 Judicial control of discretionary powers
(a) A court shall not change a fiduciary's decision to exercise or not to exercise a discretionary power conferred by this chapter unless it determines ...
11.104A.040 Power to convert to unitrust
(a)(1) In this section, "beneficiary" means a person who has an interest in the trust to be converted and who has the legal capacity to ...
11.104A.050 Determination and distribution of net income
After a decedent dies, and subject to chapter 11.10 RCW, in the case of an estate, or after an income interest in a trust ends, ...
11.104A.060 Distribution to residuary and remainder beneficiaries
(a) Each beneficiary described in RCW 11.104A.050(4) is entitled to receive a portion of the net income equal to the beneficiary's fractional interest in undistributed ...
11.104A.070 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 ...
11.104A.080 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 RCW 11.104A.050(1) applies to principal if its due date occurs ...
11.104A.090 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 ...
11.104A.100 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 ...
11.104A.110 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 ...
11.104A.120 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 ...
11.104A.130 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 ...
11.104A.140 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 ...
11.104A.150 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 ...
11.104A.160 Insurance policies and similar contracts
(a) Except as otherwise provided in subsection (b) of this section, a trustee shall allocate to principal the proceeds of a life insurance policy or ...
11.104A.170 Insubstantial allocations not required
If a trustee determines that an allocation between principal and income required by RCW 11.104A.180, 11.104A.190, 11.104A.200, 11.104A.210, or 11.104A.240 is insubstantial, the trustee may ...
11.104A.180 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 ...
11.104A.190 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 ...
11.104A.200 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 ...
11.104A.210 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 ...
11.104A.220 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 ...
11.104A.230 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 ...
11.104A.240 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 ...
11.104A.250 Disbursements from income
A trustee shall make the following disbursements from income to the extent that they are not disbursements to which RCW 11.104A.050(2) (ii) or (iii) applies: ...
11.104A.260 Disbursements from principal
(a) A trustee shall make the following disbursements from principal: (1) The remaining one-half of the disbursements described in RCW 11.104A.250 (1) and (2); (2) ...
11.104A.270 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 ...
11.104A.280 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 ...
11.104A.290 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 ...
11.104A.300 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 ...
11.104A.900 Uniformity of application and construction
In applying and construing chapter 345, Laws of 2002, consideration must be given to the need to promote uniformity of the law with respect to ...
11.104A.901 Application of chapter 11.96A RCW
Nothing in chapter 345, Laws of 2002 is intended to restrict the application of chapter 11.96A RCW to issues, questions, or disputes that arise under ...
11.104A.902 Severability -- 2002 c 345
If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application ...
11.104A.903 Captions, article and part headings not law -- 2002 c 345
Captions, article headings, and part headings used in this chapter are not any part of the law.[2002 c 345 § 605.] ...
11.104A.904 Effective date -- 2002 c 345
This act takes effect January 1, 2003.[2002 c 345 § 606.] ...
11.104A.905 Application of act to existing trusts and estates
Except as specifically provided otherwise in the terms of a trust or a will, chapter 345, Laws of 2002 shall apply to any receipt or ...

Last modified: April 7, 2009