Texas § 113.171 COMMON TRUST FUNDS.

Texas Statutes

§ 113.171 — COMMON TRUST FUNDS.

Texas § 113.171

Code PRProperty Code

This text of Texas § 113.171 (COMMON TRUST FUNDS.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Property Code Code Ann. § 113.171 (2026).

Text

Sec. 113.171. COMMON TRUST FUNDS.

(a)A bank or trust company qualified to act as a fiduciary in this state may establish common trust funds to provide investments to itself as a fiduciary, including as a custodian under the Texas Uniform Transfers to Minors Act (Chapter 141 ) or a uniform gifts or transfers to minors act of another state or to itself and others as cofiduciaries.

(b)The fiduciary or cofiduciary may place investment funds in interests in common trust funds if:

(1)the investment is not prohibited by the instrument or order creating the fiduciary relationship; and

(2)if there are cofiduciaries, the cofiduciaries consent to the investment.

(c)A common trust fund includes a fund:

(1)qualified for exemption from federal income taxation as a common trust fund and maintained

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Sec. 113.171. COMMON TRUST FUNDS. (a) A bank or trust company qualified to act as a fiduciary in this state may establish common trust funds to provide investments to itself as a fiduciary, including as a custodian under the Texas Uniform Transfers to Minors Act (Chapter 141 ) or a uniform gifts or transfers to minors act of another state or to itself and others as cofiduciaries.
(b) The fiduciary or cofiduciary may place investment funds in interests in common trust funds if:
(1) the investment is not prohibited by the instrument or order creating the fiduciary relationship; and
(2) if there are cofiduciaries, the cofiduciaries consent to the investment.
(c) A common trust fund includes a fund:
(1) qualified for exemption from federal income taxation as a common trust fund and maintained exclusively for eligible fiduciary accounts; and
(2) consisting solely of assets of retirement, pension, profit sharing, stock bonus, or other employees' trusts that are exempt from federal income taxation.

Legislative History

Added by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, Sec. 2, eff. Jan. 1, 1984. Amended by: Acts 2005, 79th Leg., Ch. 148 (H.B. 1190 ), Sec. 18, eff. January 1, 2006.