reglab/housing_qa huggingface dataset:
IN Code § 30-2-14-35 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-35. Marital Deduction for Trust Assets

Sec. 35. (a) If:(1) a marital deduction is allowed for all or part of a trust whose assets consist substantially of property that does not provide the spouse with sufficient income from or use of the trust assets; and(2) the amounts that the trustee transfers from principal to income under section 15 of this chapter and distributes to the spouse from principal under the terms of the trust are insufficient to provide the spouse with the beneficial enjoyment required to obtain the marital deduction;the spouse may require the trustee to make property productive of income, convert property within a reasonable time, or exercise the power conferred by section 15(a) of this chapter. The trustee may decide which action or combination of actions to take.(b) In cases not governed by subsection (a), proceeds from the sale or other disposition of an asset are principal without regard to the amount of income the asset produces during any accounting period.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-36 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-36. Transactions in Derivatives; Granting, Acquiring, or Exercising an Option

Sec. 36. (a) As used in this section, "derivative" means a contract or financial instrument or a combination of contracts and financial instruments that gives a trust the right or obligation to participate in:(1) some or all changes in the price of a tangible or intangible asset or group of assets; or(2) changes in a rate, an index of prices or rates, or other market indicator for an asset or a group of assets.(b) To the extent that a trustee does not account under section 25 of this chapter for transactions in derivatives, the trustee shall allocate to principal receipts from and disbursements made in connection with those transactions.(c) If a trustee:(1) grants an option to buy property from the trust, whether or not the trust owns the property when the option is granted;(2) grants an option that permits another person to sell property to the trust; or(3) acquires an option to buy property for the trust or an option to sell an asset owned by the trust;and the trustee or other owner of the asset is required to deliver the asset if the option is exercised, an amount received for granting the option must be allocated to principal. An amount paid to acquire the option must be paid from principal. A gain or loss realized upon the exercise of an option, including an option granted to a settlor of the trust for services rendered, must be allocated to principal.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-37 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-37. Asset Backed Securities

Sec. 37. (a) As used in this section, "asset backed security" means an asset whose value is based upon the right it gives the owner to receive distributions from the proceeds of financial assets that provide collateral for the security. The term includes an asset that gives the owner the right to receive from the collateral financial assets only the interest or other current return or only the proceeds other than interest or current return. The term does not include an asset to which section 23 or section 31 of this chapter applies.(b) If a trust receives a payment from interest or other current return and from other proceeds of the collateral financial assets, the trustee shall allocate to income the portion of the payment that the payer identifies as being from interest or other current return and shall allocate the balance of the payment to principal.(c) If a trust receives one (1) or more payments in exchange for the trust's entire interest in an asset backed security in one (1) accounting period, the trustee shall allocate the payments to principal. If a payment is one (1) of a series of payments that will result in the liquidation of the trust's interest in the security over more than one (1) accounting period, the trustee shall allocate ten percent (10%) of the payment to income and the balance to principal.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-38 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-38. Disbursements From Income

Sec. 38. A trustee shall make the following disbursements from income to the extent that they are not disbursements to which section 18(a)(2)(B) or 18(a)(2)(C) of this chapter applies:(1) one-half (1/2) of the regular compensation of the trustee and of any person providing investment advisory or custodial services to the trustee;(2) one-half (1/2) of all expenses for accountings, judicial proceedings, or other matters that involve both the income and remainder interests;(3) all of the other ordinary expenses incurred in connection with the administration, management, or preservation of trust property and the distribution of income, including:(A) interest;(B) ordinary repairs;(C) regularly recurring taxes assessed against principal; and(D) expenses of a proceeding or other matter that concerns primarily the income interest; and(4) recurring premiums on insurance covering the loss of a principal asset or the loss of income from or use of the asset.As added by P.L.84-2002, SEC.2. Amended by P.L.51-2014, SEC.17.
IN Code § 30-2-14-39 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-39. Disbursements From Principal

Sec. 39. (a) A trustee shall make the following disbursements from principal:(1) the remaining one-half (1/2) of the disbursements described in section 38(1) and 38(2) of this chapter;(2) all of the trustee's compensation calculated on principal as a fee for acceptance, distribution, or termination, and disbursements made to prepare property for sale;(3) payments on the principal of a trust debt;(4) expenses of a proceeding that concerns primarily principal, including a proceeding to construe the trust or to protect the trust or its property;(5) premiums paid on a policy of insurance not described in section 38(4) of this chapter of which the trust is the owner and beneficiary;(6) estate, inheritance, and other transfer taxes, including penalties, apportioned to the trust; and(7) disbursements related to environmental matters, including reclamation, assessing environmental conditions, remedying and removing environmental contamination, monitoring remedial activities and the release of substances, preventing future releases of substances, collecting amounts from persons liable or potentially liable for the costs of those activities, penalties imposed under environmental laws or regulations and other payments made to comply with those laws or regulations, statutory or common law claims by third parties, and defending claims based on environmental matters.(b) If a principal asset is encumbered with an obligation that requires income from that asset to be paid directly to the creditor, the trustee shall transfer from principal to income an amount equal to the income paid to the creditor in reduction of the principal balance of the obligation.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-40 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-40. Principal Asset Subject to Depreciation

Sec. 40. (a) As used 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 (1) 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 section 25 of this chapter 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.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-41 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-41. Principal Disbursements; Income Transfers to Reimburse Principal or Create Principal Disbursement Reserve

Sec. 41. (a) If a trustee makes or expects to make a principal disbursement described in this section, the trustee may transfer an appropriate amount from income to principal in one (1) or more accounting periods to reimburse principal or to provide a reserve for future principal disbursements.(b) Principal disbursements to which subsection (a) applies include the following, but only to the extent that the trustee has not been and does not expect to be reimbursed by a third party:(1) an amount chargeable to income but paid from principal because it is unusually large, including extraordinary repairs;(2) a capital improvement to a principal asset, whether in the form of changes to an existing asset or the construction of a new asset, including special assessments;(3) disbursements made to prepare property for rental, including tenant allowances, leasehold improvements, and broker's commissions;(4) periodic payments on an obligation secured by a principal asset to the extent that the amount transferred from income to principal for depreciation is less than the periodic payments; and(5) disbursements described in section 39(a)(7) of this chapter.(c) If the asset whose ownership gives rise to the disbursements becomes subject to a successive income interest after an income interest ends, a trustee may continue to transfer amounts from income to principal as provided in subsection (a).As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-42 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-42. Tax Payments

Sec. 42. (a) A tax required to be paid by a trustee based on receipts allocated to income must be paid from income.(b) A tax required to be paid by a trustee based on receipts allocated to principal must be paid from principal, even if the tax is called an income tax by the taxing authority.(c) A tax required to be paid by a trustee on the trust's share of an entity's taxable income must be paid:(1) from income to the extent that receipts from the entity are allocated to income;(2) from principal to the extent that receipts from the entity are allocated only to principal;(3) proportionately from principal and income to the extent that receipts from the entity are allocated to both income and principal; and(4) from principal to the extent that the tax exceeds the total receipts from the entity.(d) After applying subsections (a) through (c), the trustee shall adjust income or principal receipts to the extent that the trust's taxes are reduced because the trust receives a deduction for payments made to a beneficiary.As added by P.L.84-2002, SEC.2. Amended by P.L.143-2009, SEC.20.
IN Code § 30-2-14-43 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-43. Adjustments to Offset Shifting of Economic Interests or Tax Benefits Between Income Beneficiaries and Remainder Beneficiaries

Sec. 43. (a) A fiduciary may make adjustments between principal and income to offset the shifting of economic interests or tax benefits between income beneficiaries and remainder beneficiaries that arise from:(1) elections and decisions, other than those described in subsection (b), that the fiduciary makes from time to time regarding tax matters;(2) an income tax or any other tax that is imposed upon the fiduciary or a beneficiary as a result of a transaction involving or a distribution from the estate or trust; or(3) the ownership by an estate or trust of an interest in an entity whose taxable income, whether or not distributed, is includable in the taxable income of the estate, trust, or a beneficiary.(b) If the amount of an estate tax marital deduction or charitable contribution deduction is reduced because a fiduciary deducts an amount paid from principal for income tax purposes instead of deducting it for estate tax purposes, and as a result estate taxes paid from principal are increased and income taxes paid by an estate, a trust, or a beneficiary are decreased, each estate, trust, or beneficiary that benefits from the decrease in income tax shall reimburse the principal from which the increase in estate tax is paid. The total reimbursement must equal the increase in the estate tax to the extent that the principal used to pay the increase would have qualified for a marital deduction or charitable contribution deduction but for the payment. The proportionate share of the reimbursement for each estate, trust, or beneficiary whose income taxes are reduced must be the same as its proportionate share of the total decrease in income tax. An estate or trust shall reimburse principal from income.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-14-44 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 14. Uniform Principal and Income Act|30-2-14-44. Uniformity of the Law

Sec. 44. In applying and construing this uniform act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.As added by P.L.84-2002, SEC.2.
IN Code § 30-2-15-1 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-1. "Current Valuation Year"

Sec. 1. As used in this chapter, "current valuation year" means the year of the trust for which the unitrust amount is being determined.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-2 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-2. "Income Trust"

Sec. 2. As used in this chapter, "income trust" means:(1) a trust created by an inter vivos or a testamentary instrument that has terms that describe the amount that may or must be distributed to a beneficiary by referring to the trust's income; or(2) a cemetery perpetual care fund established under IC 23-14-48-2.As added by P.L.3-2003, SEC.2. Amended by P.L.33-2019, SEC.8.
IN Code § 30-2-15-3 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-3. "Net Fair Market Value"

Sec. 3. As used in this chapter, "net fair market value" means the fair market value of each asset comprising the trust reduced by the liens, debts, and encumbrances of the trust, regardless of whether the liens, debts, and encumbrances are allocable to a specific asset.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-4 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-4. "Total Return Unitrust"

Sec. 4. As used in this chapter, "total return unitrust" means an income trust that has been converted to a total return unitrust in accordance with this chapter.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-5 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-5. "Trustee"

Sec. 5. As used in this chapter, "trustee" refers to the:(1) trustee of a trust; or(2) if at least two (2) persons are acting as trustee, a majority of the trustees.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-6 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-6. "Unitrust Amount"

Sec. 6. As used in this chapter, "unitrust amount" means an amount computed as a percentage of the fair market value of the trust as set forth in this chapter.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-7 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-7. "Unitrust Rate"

Sec. 7. As used in this chapter, "unitrust rate" means the percentage of the fair market value of the trust that is determined under section 15 of this chapter and used to calculate the unitrust amount.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-8 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-8. "Year"

Sec. 8. As used in this chapter, "year" means a calendar year.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-9 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-9. Trustee's Power to Convert Trust, Reconvert Trust, and Change Unitrust Rate

Sec. 9. A trustee may:(1) release the trustee's power to adjust between trust principal and income under IC 30-2-14-15 and convert an income trust to a total return unitrust;(2) reconvert a total return unitrust to an income trust; or(3) change the unitrust rate;if the requirements of this chapter are met.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-10 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-10. Acting Without Court Approval

Sec. 10. (a) Unless expressly prohibited in the governing trust instrument, and if the trustee would not be prohibited from exercising the power to adjust under IC 30-2-14-15(a) because at least one (1) of the provisions of IC 30-2-14-15(c)(3) through IC 30-2-14-15(c)(7) would be applicable, a trustee may, without the approval of the court having jurisdiction of the trust, take an action set forth in section 9 of this chapter:(1) if, in the case of a trust described in section 2(1) of this chapter:(A) the trustee sends written notice of the trustee's proposed action to:(i) the settlor of the trust, if the settlor is living; and(ii) the trust beneficiaries described in IC 30-2-14-16(b); and(B) no person who receives a written notice under clause (A) objects to the proposed action; or(2) if, in the case of a trust described in section 2(2) of this chapter, the owner of the cemetery:(A) directs the trustee to take the action; or(B) consents to the action of the trustee.(b) To the extent applicable, the notice provided under subsection (a)(1)(A) must:(1) state the trustee's intent to release the power to adjust under IC 30-2-14-15 and to convert the trust to a total return unitrust; and(2) describe how the unitrust will operate and any decisions made by the trustee under this chapter.In the notice, the trustee shall also specify an effective date of the conversion, reconversion, or change in the unitrust rate.(c) A person who receives notice under subsection (a)(1)(A) of a trustee's proposed action may object to the proposed action by delivering a written objection to the trustee not later than sixty (60) days after receiving the notice.As added by P.L.3-2003, SEC.2. Amended by P.L.33-2019, SEC.9.
IN Code § 30-2-15-11 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-11. Petition by Trustee

Sec. 11. If a trustee:(1) receives an objection under section 10 of this chapter;(2) elects not to proceed under section 10 of this chapter; or(3) is not able to proceed under section 10 of this chapter because the trustee does not have the power to adjust under IC 30-2-14-15(c)(5), IC 30-2-14-15(c)(6), or IC 30-2-14-15(c)(7);the trustee may petition the court having jurisdiction of the trust for an order that allows the trustee to take an action described in section 9 of this chapter.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-12 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-12. Petition by Trust Beneficiary

Sec. 12. A trust beneficiary described in IC 30-2-14-16(b) may petition the court having jurisdiction of the trust to order the trustee to take an action described in section 9 of this chapter, if the action would not alter any amount in the trust that is permanently set aside for charitable purposes unless both income and principal are set aside.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-13 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-13. When Court Shall Approve Conversion, Reconversion, or Change in Rate

Sec. 13. If the court finds that the conversion, reconversion, or change in the unitrust rate under this chapter will enable the trustee to better carry out:(1) in the case of a trust described in section 2(1) of this chapter, the intent of the settlor or testator and the purposes of the trust; or(2) in the case of a trust described in section 2(2) of this chapter, the perpetual care (as defined in IC 23-14-33-30) of the cemetery;the court shall approve the conversion, reconversion, or change in the unitrust rate under this chapter.As added by P.L.3-2003, SEC.2. Amended by P.L.33-2019, SEC.10.
IN Code § 30-2-15-14 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-14. Reconversion's Release of Power to Adjust Void

Sec. 14. This section applies if a total return unitrust is reconverted to an income trust. The trustee's release of the trustee's power under IC 30-2-14-15, if it was given at the time the trust was converted to a total return unitrust, is void when the trust is reconverted.As added by P.L.3-2003, SEC.2.
IN Code § 30-2-15-15 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-15. Conversion to Unitrust; Unitrust Rate

Sec. 15. (a) This section applies to a trust described in section 2(1) of this chapter.(b) When a trustee gives notice of a proposed action under section 10(a)(1)(A) of this chapter to convert a trust to a unitrust, the trustee must include the unitrust rate in the notice of proposed action.(c) If:(1) the trustee proposes a unitrust rate of four percent (4%) in the notice of proposed action; and(2) no beneficiary entitled to notice of the proposed action makes a written objection to the unitrust rate under section 10(a)(1)(B) of this chapter;the unitrust rate must be four percent (4%).(d) A trust may have a unitrust rate that represents a reasonable current return from the trust and best reflects the goals of the trust and the intent of the settlor or testator, but that is not less than three percent (3%) or more than five percent (5%), if the rate is:(1) agreed upon in writing by the trustee and the beneficiaries entitled to notice under section 11 of this chapter; or(2) ordered by the court having jurisdiction of the trust.As added by P.L.3-2003, SEC.2. Amended by P.L.33-2019, SEC.11.
IN Code § 30-2-15-15.2 (2021)
2021 Indiana Code|Title 30. Trusts and Fiduciaries|Article 2. General Provisions|Chapter 15. Total Return Unitrusts|30-2-15-15.2. Unitrust Rate for a Cemetery Perpetual Care Fund

Sec. 15.2. (a) This section applies to a trust described in section 2(2) of this chapter.(b) A trust may have a unitrust rate that represents a reasonable current return from the trust and best serves the purpose of the perpetual care (as defined in IC 23-14-33-30) of the cemetery, but that is not less than three percent (3%) or more than five percent (5%), if the rate is:(1) agreed upon in writing by the trustee and the owner of the cemetery; or(2) ordered by the court having jurisdiction of the trust.As added by P.L.33-2019, SEC.12.