Section 3B:19B-13 - Principal receipts

NJ Rev Stat § 3B:19B-13 (2019) (N/A)

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3B:19B-13. Principal receipts

13. Principal Receipts. A trustee shall allocate to principal:

a. To the extent not allocated to income under this act, assets received from a transferor during the transferor's lifetime, a decedent's estate, a trust with a terminating income interest or a payer under a contract naming the trust or its trustee as beneficiary;

b. Money or other property received from the sale, exchange, liquidation or change in form of a principal asset, including realized profit, subject to sections 10 through 23 of this act;

c. Amounts recovered from third parties to reimburse the trust because of disbursements described in paragraph (9) of subsection a. of section 25 of this act or for other reasons to the extent not based on the loss of income;

d. Proceeds of property taken by eminent domain, but a separate award made for the loss of income with respect to an accounting period during which a current income beneficiary had a mandatory income interest is income;

e. Net income received in an accounting period during which there is no beneficiary to whom a trustee may or shall distribute income; and

f. Other receipts as provided in sections 17 through 23 of this act.

L.2001,c.212,s.13.

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