Florida Statutes 738.404 – Principal receipts
Current as of: 2024 | Check for updates
|
Other versions
A fiduciary shall allocate to principal:
(1) To the extent not allocated to income under this chapter, an asset received from any of the following:
(a) An individual during the individual’s lifetime.
Terms Used In Florida Statutes 738.404
- Accounting period: means a calendar year unless a fiduciary selects another period of 12 calendar months or approximately 12 calendar months. See Florida Statutes 738.102
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Beneficiary: includes :(a) For a trust:1. See Florida Statutes 738.102
- Contract: A legal written agreement that becomes binding when signed.
- Estate: means a decedent's estate, including the property of the decedent as the estate is originally constituted and the property of the estate as it exists at any time during administration. See Florida Statutes 738.102
- Fiduciary: A trustee, executor, or administrator.
- Fiduciary: includes a trustee, a trust director as defined in…. See Florida Statutes 738.102
- Income: means money or other property a fiduciary receives as current return from principal. See Florida Statutes 738.102
- Income interest: means the right of a current income beneficiary to receive all or part of net income, whether the terms of the trust require the net income to be distributed or authorize the net income to be distributed in the fiduciary's discretion. See Florida Statutes 738.102
- Mandatory income interest: means the right of a current income beneficiary to receive net income that the terms of the trust require the fiduciary to distribute. See Florida Statutes 738.102
- Principal: means property held in trust for distribution to, production of income for, or use by a current or successor beneficiary. See Florida Statutes 738.102
- Trust: includes an express trust, whether private or charitable, with additions to the trust, wherever and however created; and a trust created or determined by a judgment or decree under which the trust is to be administered in the manner of an express trust. See Florida Statutes 738.102
(b) An estate.(c) A trust on termination of an income interest.(d) A payor under a contract naming the fiduciary as beneficiary.(2) Except as otherwise provided in ss. 738.401–738.416, money or other property received from the sale, exchange, liquidation, or change in the form of a principal asset.(3) An amount recovered from a third party to reimburse the fiduciary because of a disbursement described in s. 738.502(1) or for another reason to the extent not based on the loss of income.(4) Proceeds of property taken by eminent domain except that proceeds awarded for loss of income in an accounting period are income if a current income beneficiary had a mandatory income interest during the period.(5) Net income received in an accounting period during which there is no beneficiary to which a fiduciary may or must distribute income.