New Mexico § 46-3A-109 Restrictions on distributions

New Mexico Statutes

§ 46-3A-109 — Restrictions on distributions

New Mexico § 46-3A-109

Ch. 46Fiduciaries and Trusts

Art. 1DEFINITIONS AND FIDUCIARY DUTIES

This text of New Mexico § 46-3A-109 (Restrictions on distributions) is published on Counsel Stack Legal Research, covering New Mexico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.M. Stat. Ann. § 46-3A-109 (2026).

Text

A. The distribution amount may not be less than the net income of the trust, determined without regard to the provisions of Sections 46-3A-105 through 46-3A-113 NMSA 1978, for a trust that was exempt, in whole or in part, from generation-skipping transfer tax on July 1, 2005 by reason of any effective date or transition rule. B. Conversion to a total return trust shall not affect any provisions in the governing instrument:

(1)that directs or authorizes the trustee to distribute principal;

(2)that directs or authorizes the trustee to distribute a fixed annuity or a fixed fraction of the value of trust assets;

(3)that authorizes a beneficiary to withdraw a portion or all of the principal; or (4) that in any manner diminishes an amount permanently set aside for charitable purposes under th

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A. The distribution amount may not be less than the net income of the trust, determined without regard to the provisions of Sections 46-3A-105 through 46-3A-113 NMSA 1978, for a trust that was exempt, in whole or in part, from generation-skipping transfer tax on July 1, 2005 by reason of any effective date or transition rule. B. Conversion to a total return trust shall not affect any provisions in the governing instrument: (1) that directs or authorizes the trustee to distribute principal; (2) that directs or authorizes the trustee to distribute a fixed annuity or a fixed fraction of the value of trust assets; (3) that authorizes a beneficiary to withdraw a portion or all of the principal; or (4) that in any manner diminishes an amount permanently set aside for charitable purposes under the governing instrument unless both income and principal are set aside.