§ 15-1-1003 — Requirement for distribution of certain amounts

Colorado § 15-1-1003

• Jurisdiction: Colorado
• Title 15: Probate,
• Art.: Fiduciary

Text

In the
administration of any trust which is a private foundation, as defined in section 509
of the federal Internal Revenue Code of 1986, or which is a charitable trust, as
defined in section 4947 (a)(1) of the federal Internal Revenue Code of 1986, there
shall be distributed, for the purposes specified in the trust instrument, for each
taxable year, amounts at least sufficient to avoid liability for the tax imposed by
section 4942 (a) of the federal Internal Revenue Code of 1986. No trustee of such
a trust shall be required to reimburse the trust from his own property for the
amount of any liability for such tax which is incurred by the trust if the trustee
acted in a prudent manner and in good faith. No trustee of such a trust shall be
required to reimburse the trust from his own property for any amount which he,
acting prudently and in good faith, distributes from the trust, believing it to be
required to be distributed in order to avoid the liability for such tax, but which later
is determined not to have been required to be distributed for that purpose.

Legislative History

Source: L. 71: p. 590, � 1. C.R.S. 1963: � 57-10-3. L. 2000: Entire section amended, p. 1845, � 26, effective August 2.