New Hampshire § 564-C:5-503 Transfers from Income to Principal for Depreciation

New Hampshire Statutes

§ 564-C:5-503 — Transfers from Income to Principal for Depreciation

New Hampshire·Title LVI PROBATE COURTS AND DECEDENTS' ESTATES·Ch. 564-C UNIFORM PRINCIPAL AND INCOME ACT·Subdivision ARTICLE 5ALLOCATION OF DISBURSEMENTS DURING ADMINISTRATION OF TRUST

(a)In this section, "depreciation" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than one year.

(b)A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but may not transfer any amount for depreciation:

(1)of that portion of real property used or available for use by a beneficiary as a residence or of tangible personal property held or made available for the personal use or enjoyment of a beneficiary;

(2)during the administration of a decedent's estate; or

(3)under this section if the trustee is accounting under RSA 564-C:4-403 for the business or activity in which the asset is used.

(c)An amount transferred to prin

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(a) In this section, "depreciation" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than one year.
(b) A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but may not transfer any amount for depreciation:
(1) of that portion of real property used or available for use by a beneficiary as a residence or of tangible personal property held or made available for the personal use or enjoyment of a beneficiary;
(2) during the administration of a decedent's estate; or
(3) under this section if the trustee is accounting under RSA 564-C:4-403 for the business or activity in which the asset is used.
(c) An amount transferred to principal need not be held as a separate fund.

New Hampshire § 564-C:5-503 (Transfers from Income to Principal for Depreciation) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.