Arizona Laws 14-2902. Nonvested property interest or power of appointment; creation
A. Except as provided in subsections B and C of this section and section 14-2905, subsection C, the time of creation of a nonvested property interest or a power of appointment is determined under general principles of property law.
Terms Used In Arizona Laws 14-2902
- Community property: means that property of a husband and wife that is acquired during the marriage and that is community property as prescribed in section 25-211. See Arizona Laws 14-1201
- Governing instrument: means a deed, will, trust, insurance or annuity policy, account with pay on death designation, security registered in beneficiary form, pension, profit sharing, retirement or similar benefit plan, instrument creating or exercising a power of appointment or power of attorney or supported decision-making agreement or a dispositive, appointive or nominative instrument of any similar type. See Arizona Laws 14-1201
- Person: means an individual or an organization. See Arizona Laws 14-1201
- Property: includes both real and personal property. See Arizona Laws 1-215
- Trust: includes an express trust, private or charitable, with any additions, wherever and however created. See Arizona Laws 14-1201
B. If there is a person who alone can exercise a power created by a governing instrument to become the unqualified beneficial owner of a nonvested property interest or a property interest subject to a power of appointment described in section 14-2901, subsection B or C, the nonvested property interest or power of appointment is created when that person’s power to become the unqualified beneficial owner terminates. A joint power with respect to community property or to marital property held by a married couple is a power exercisable by one person alone.
C. A nonvested property interest or a power of appointment arising from a transfer of property to a previously funded trust or any other existing property arrangement is created when the nonvested property interest or power of appointment in the original contribution was created.