Arkansas § 28-77-405 Rental property

Arkansas Statutes

§ 28-77-405 — Rental property

To the extent a fiduciary does not account for the management of rental property as a business under § 28-77-403 , the fiduciary shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease. An amount received as a refundable deposit, including a security deposit or a deposit that is to be applied as rent for future periods:

(1)must be added to principal and held subject to the terms of the lease, except as otherwise provided by law other than this chapter; and (2) is not allocated to income or available for distribution to a beneficiary until the fiduciary's contractual obligations have been satisfied with respect to that amount.

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To the extent a fiduciary does not account for the management of rental property as a business under § 28-77-403 , the fiduciary shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease. An amount received as a refundable deposit, including a security deposit or a deposit that is to be applied as rent for future periods: (1) must be added to principal and held subject to the terms of the lease, except as otherwise provided by law other than this chapter; and (2) is not allocated to income or available for distribution to a beneficiary until the fiduciary's contractual obligations have been satisfied with respect to that amount.

Arkansas § 28-77-405 (Rental property) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.