JurisdictionNew YorkLaw EPTEstates, Powers & Trusts
Part 2Decedent's Estate or Terminating Income Interest
Art. 11-AUniform Principal and Income Act
This text of New York § 11-A-2.2 (Distribution to residuary and remainder beneficiaries) is published on Counsel Stack Legal Research, covering New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
§ 11-A-2.2 Distribution to residuary and remainder beneficiaries\n (a) Each beneficiary described in paragraph 11-A-2.1 (4) is entitled\nto receive a portion of the net income equal to the beneficiary's\nfractional interest in undistributed principal assets, using values as\nof the distribution date, provided, however, that any amount allowed as\na tax deduction to the estate for income payable to a charitable\norganization shall be paid, without diminution for taxes, to the\ncharitable organization entitled to receive such income. If a fiduciary\nmakes more than one distribution of assets to beneficiaries to whom this\nsection applies, each beneficiary, including one who does not receive\npart of the distribution, is entitled, as of each distribution date, to\nthe net income the fiduciar
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§ 11-A-2.2 Distribution to residuary and remainder beneficiaries\n (a) Each beneficiary described in paragraph 11-A-2.1 (4) is entitled\nto receive a portion of the net income equal to the beneficiary's\nfractional interest in undistributed principal assets, using values as\nof the distribution date, provided, however, that any amount allowed as\na tax deduction to the estate for income payable to a charitable\norganization shall be paid, without diminution for taxes, to the\ncharitable organization entitled to receive such income. If a fiduciary\nmakes more than one distribution of assets to beneficiaries to whom this\nsection applies, each beneficiary, including one who does not receive\npart of the distribution, is entitled, as of each distribution date, to\nthe net income the fiduciary has received after the date of death or\nterminating event or earlier distribution date but has not distributed\nas of the current distribution date.\n (b) In determining a beneficiary's share of net income, the following\nrules apply:\n (1) The beneficiary is entitled to receive a portion of the net income\nequal to the beneficiary's fractional interest in the undistributed\nprincipal assets immediately before the distribution date, including\nassets that later may be sold to meet principal obligations.\n (2) The beneficiary's fractional interest in the undistributed\nprincipal assets must be calculated without regard to property\nspecifically given to a beneficiary and property required to pay\npecuniary amounts not in trust.\n (3) The beneficiary's fractional interest in the undistributed\nprincipal assets must be calculated on the basis of the aggregate value\nof those assets as of the distribution date without reducing the value\nby any unpaid principal obligation.\n (4) The distribution date for purposes of this section may be the date\nas of which the fiduciary calculates the value of the assets if that\ndate is reasonably near the date on which assets are actually\ndistributed.\n (c) If a fiduciary does not distribute all of the collected but\nundistributed net income to each person as of a distribution date, the\nfiduciary shall maintain appropriate records showing the interest of\neach beneficiary in that net income.\n (d) A fiduciary may apply the rules in this section, to the extent\nthat the fiduciary considers it appropriate, to net gain or loss\nrealized after the date of death or terminating event or earlier\ndistribution date from the disposition of a principal asset if this\nsection applies to the income from the asset.\n (e) The portion of a beneficiary determined under paragraph (a) is\nsubject to the fiduciary's further power of adjustment under\nsubparagraph 11-2.3(b)(5), which adjustment if made shall be made to or\nfrom the principal of such beneficiary's share. The fiduciary shall\nmaintain appropriate records showing the principal interest of each\nbeneficiary, as adjusted.\n