reglab/statecodes huggingface dataset:
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-408 - Insubstantial allocation not required

(a)
If a fiduciary determines that an allocation between income and principal required by §
28-77-409
, §
28-77-410
, §
28-77-411
, §
28-77-412
, or §
28-77-415
is insubstantial, the fiduciary may allocate the entire amount to principal, unless §
28-77-203(e)
applies to the allocation.
(b)
A fiduciary may presume an allocation is insubstantial under subsection (a) if:
(1)
the amount of the allocation would increase or decrease net income in an accounting period, as determined before the allocation, by less than 10 percent; and
(2)
the asset producing the receipt to be allocated has a fair market value less than 10 percent of the total fair market value of the assets owned or held by the fiduciary at the beginning of the accounting period.
(c)
The power to make a determination under subsection (a) may be:
(1)
exercised by a co-fiduciary in the manner described in §
28-77-203(f)
; or
(2)
released or delegated for a reason described in §
28-77-203(g)
and in the manner described in §
28-77-203(h)
.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-410 - Liquidating asset

(a)
In this section, "liquidating asset" means an asset whose value will diminish or terminate because the asset is expected to produce receipts for a limited time. The term includes a leasehold, patent, copyright, royalty right, and right to receive payments during a period of more than one year under an arrangement that does not provide for the payment of interest on the unpaid balance.
(b)
This section does not apply to a receipt subject to §
28-77-401
, §
28-77-409
, §
28-77-411
, §
28-77-412
, §
28-77-414
, §
28-77-415
, §
28-77-416
, or §
28-77-503
.
(c)
A fiduciary shall allocate:
(1)
to income:
(A)
a receipt produced by a liquidating asset, to the extent the receipt does not exceed five percent of the value of the asset; or
(B)
if the fiduciary cannot determine the value of the asset, 10 percent of the receipt; and
(2)
to principal, the balance of the receipt.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-411 - Minerals, water, and other natural resources

(a)
To the extent that a fiduciary accounts for receipts from an interest in minerals or other natural resources pursuant to this section, the fiduciary shall allocate them as follows:
(1)
if received as nominal delay rental or nominal annual rent on a lease, a receipt must be allocated to income.
(2)
if received from a production payment, a receipt must be allocated to income if and to the extent that the agreement creating the production payment provides a factor for interest or its equivalent. The balance must be allocated to principal.
(3)
if an amount received as a royalty, shut-in-well payment, take-or-pay payment, bonus, or delay rental is more than nominal, 90 percent must be allocated to principal and the balance to income.
(4)
if an amount is received from a working interest or any other interest not provided for in paragraph (1), (2), or (3), 90 percent of the net amount received must be allocated to principal and the balance to income.
(b)
An amount received on account of an interest in water that is renewable must be allocated to income. If the water is not renewable, 90 percent of the amount must be allocated to principal and the balance to income.
(c)
This chapter applies whether or not a decedent or donor was extracting minerals, water, or other natural resources before the interest became subject to the trust.
(d)
If a trust owns an interest in minerals, water, or other natural resources on or before January 1, 2022, the fiduciary may allocate receipts from the interest as provided in this chapter or in the manner used by the fiduciary before January 1, 2022. If the trust acquires an interest in minerals, water, or other natural resources after January 1, 2022, the fiduciary shall allocate receipts from the interest as provided in this chapter.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-412 - Timber

(a)
To the extent a fiduciary does not account for receipts from the sale of timber and related products as a business under §
28-77-403
, the fiduciary shall allocate the net receipts:
(1)
to income, to the extent the amount of timber cut from the land does not exceed the rate of growth of the timber;
(2)
to principal, to the extent the amount of timber cut from the land exceeds the rate of growth of the timber or the net receipts are from the sale of standing timber;
(3)
between income and principal if the net receipts are from the lease of land used for growing and cutting timber or from a contract to cut timber from land, by determining the amount of timber cut from the land under the lease or contract and applying the rules in paragraphs (1) and (2); or
(4)
to principal, to the extent advance payments, bonuses, and other payments are not allocated under paragraph (1), (2), or (3).
(b)
In determining net receipts to be allocated under subsection (a), a fiduciary shall deduct and transfer to principal a reasonable amount for depletion.
(c)
This section applies to land owned or held by a fiduciary whether or not a settlor was cutting timber from the land before the fiduciary owned or held the property.
(d)
If a fiduciary owns or holds an interest in land used for growing and cutting timber before January 1, 2022, the fiduciary may allocate net receipts from the sale of timber and related products as provided in this section or in the manner used by the fiduciary before January 1, 2022. If the fiduciary acquires an interest in land used for growing and cutting timber on or after January 1, 2022, the fiduciary shall allocate net receipts from the sale of timber and related products as provided in this section.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-413 - Marital deduction property not productive of income

(a)
If a trust received property for which a gift or estate tax marital deduction was allowed and the settlor's spouse holds a mandatory income interest in the trust, the spouse may require the trustee, to the extent the trust assets otherwise do not provide the spouse with sufficient income from or use of the trust assets to qualify for the deduction, to:
(1)
make property productive of income;
(2)
convert property to property productive of income within a reasonable time; or
(3)
exercise the power to adjust under §
28-77-203
.
(b)
The trustee may decide which action or combination of actions in subsection (a) to take.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-414 - Derivative or option

(a)
In this section, "derivative" means a contract, instrument, other arrangement, or combination of contracts, instruments, or other arrangements, the value, rights, and obligations of which are, in whole or in part, dependent on or derived from an underlying tangible or intangible asset, group of tangible or intangible assets, index, or occurrence of an event. The term includes stocks, fixed income securities, and financial instruments and arrangements based on indices, commodities, interest rates, weather-related events, and credit-default events.
(b)
To the extent a fiduciary does not account for a transaction in derivatives as a business under §
28-77-403
, the fiduciary shall allocate 10 percent of receipts from the transaction and 10 percent of disbursements made in connection with the transaction to income and the balance to principal.
(c)
Subsection (d) applies if:
(1)
a fiduciary:
(A)
grants an option to buy property from a trust, whether or not the trust owns the property when the option is granted;
(B)
grants an option that permits another person to sell property to the trust; or
(C)
acquires an option to buy property for the trust or an option to sell an asset owned by the trust; and
(2)
the fiduciary or other owner of the asset is required to deliver the asset if the option is exercised.
(d)
If this subsection applies, the fiduciary shall allocate 10 percent to income and the balance to principal of the following amounts:
(1)
an amount received for granting the option;
(2)
an amount paid to acquire the option; and
(3)
gain or loss realized on the exercise, exchange, settlement, offset, closing, or expiration of the option.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-415 - Asset-backed security

(a)
Except as otherwise provided in subsection (b), a fiduciary shall allocate to income a receipt from or related to an asset-backed security, to the extent the payor identifies the payment as being from interest or other current return, and to principal the balance of the receipt.
(b)
If a fiduciary receives one or more payments in exchange for part or all of the fiduciary's interest in an asset-backed security, including a liquidation or redemption of the fiduciary's interest in the security, the fiduciary shall allocate to income 10 percent of receipts from the transaction and 10 percent of disbursements made in connection with the transaction, and to principal the balance of the receipts and disbursements.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 4 - ALLOCATION OF RECEIPTS (§§ 28-77-401 — 28-77-416) › Part 3 - RECEIPTS NORMALLY APPORTIONED (§§ 28-77-408 — 28-77-416) › Section 28-77-416 - Other financial instrument or arrangement

A fiduciary shall allocate receipts from or related to a financial instrument or arrangement not otherwise addressed by this chapter. The allocation must be consistent with §§
28-77-414
and
28-77-415
.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-501 - Disbursement from income

Subject to §
28-77-504
, and except as otherwise provided in §
28-77-601(c)(2)
or §
28-77-601(c)(3)
, a fiduciary shall disburse from income:
(1)
one-half of:
(A)
the regular compensation of the fiduciary and any person providing investment advisory, custodial, or other services to the fiduciary, to the extent income is sufficient; and
(B)
an expense for an accounting, judicial or nonjudicial proceeding, or other matter that involves both income and successive interests, to the extent income is sufficient;
(2)
the balance of the disbursements described in paragraph (1), to the extent a fiduciary that is an independent person determines that making those disbursements from income would be in the interests of the beneficiaries;
(3)
another ordinary expense incurred in connection with administration, management, or preservation of property and distribution of income, including interest, an ordinary repair, regularly recurring tax assessed against principal, and an expense of an accounting, judicial or nonjudicial proceeding, or other matter that involves primarily an income interest, to the extent income is sufficient; and
(4)
a premium on insurance covering loss of a principal asset or income from or use of the asset.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-502 - Disbursement from principal

(a)
Subject to §
28-77-505
, and except as otherwise provided in §
28-77-601(c)(2)
, a fiduciary shall disburse from principal:
(1)
the balance of the disbursements described in §
28-77-501(1)
and §
28-77-501(3)
, after application of §
28-77-501(2)
;
(2)
the fiduciary's compensation calculated on principal as a fee for acceptance, distribution, or termination;
(3)
a payment of an expense to prepare for or execute a sale or other disposition of property;
(4)
a payment on the principal of a trust debt;
(5)
a payment of an expense of an accounting, judicial or nonjudicial proceeding, or other matter that involves primarily principal, including a proceeding to construe the terms of the trust or protect property;
(6)
a payment of a premium for insurance, including title insurance, not described in §
28-77-501(4)
, of which the fiduciary is the owner and beneficiary;
(7)
a payment of an estate or inheritance tax or other tax imposed because of the death of a decedent, including penalties, apportioned to the trust; and
(8)
a payment:
(A)
related to environmental matters, including:
(i)
reclamation;
(ii)
assessing environmental conditions;
(iii)
remedying and removing environmental contamination;
(iv)
monitoring remedial activities and the release of substances;
(v)
preventing future releases of substances;
(vi)
collecting amounts from persons liable or potentially liable for the costs of activities described in clauses (i) through (v);
(vii)
penalties imposed under environmental laws or regulations;
(viii)
other actions to comply with environmental laws or regulations;
(ix)
statutory or common law claims by third parties; and
(x)
defending claims based on environmental matters; and
(B)
for a premium for insurance for matters described in subparagraph (A).
(b)
If a principal asset is encumbered with an obligation that requires income from the asset to be paid directly to a creditor, the fiduciary 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.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-503 - Transfer from income to principal for depreciation

(a)
In this section, "depreciation" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a tangible asset having a useful life of more than one year.
(b)
A fiduciary 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 the part of real property used or available for use by a beneficiary as a residence;
(2)
of tangible personal property held or made available for the personal use or enjoyment of a beneficiary; or
(3)
under this section, to the extent the fiduciary accounts:
(A)
under §
28-77-410
for the asset; or
(B)
under §
28-77-403
for the business or other activity in which the asset is used.
(c)
An amount transferred to principal under this section need not be separately held.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-504 - Reimbursement of income from principal

(a)
If a fiduciary makes or expects to make an income disbursement described in subsection (b), the fiduciary may transfer an appropriate amount from principal to income in one or more accounting periods to reimburse income.
(b)
To the extent the fiduciary has not been and does not expect to be reimbursed by a third party, income disbursements to which subsection (a) applies include:
(1)
an amount chargeable to principal but paid from income because principal is illiquid;
(2)
a disbursement made to prepare property for sale, including improvements and commissions; and
(3)
a disbursement described in §
28-77-502(a)
.
(c)
If an asset whose ownership gives rise to an income disbursement becomes subject to a successive interest after an income interest ends, the fiduciary may continue to make transfers under subsection (a).
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-505 - Reimbursement of principal from income

(a)
If a fiduciary makes or expects to make a principal disbursement described in subsection (b), the fiduciary may transfer an appropriate amount from income to principal in one or more accounting periods to reimburse principal or provide a reserve for future principal disbursements.
(b)
To the extent a fiduciary has not been and does not expect to be reimbursed by a third party, principal disbursements to which subsection (a) applies include:
(1)
an amount chargeable to income but paid from principal because income is not sufficient;
(2)
the cost of an improvement to principal, whether a change to an existing asset or the construction of a new asset, including a special assessment;
(3)
a disbursement made to prepare property for rental, including tenant allowances, leasehold improvements, and commissions;
(4)
a periodic payment on an obligation secured by a principal asset, to the extent the amount transferred from income to principal for depreciation is less than the periodic payment; and
(5)
a disbursement described in §
28-77-502(a)
.
(c)
If an asset whose ownership gives rise to a principal disbursement becomes subject to a successive interest after an income interest ends, the fiduciary may continue to make transfers under subsection (a).
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-506 - Income taxes

(a)
A tax required to be paid by a fiduciary which is based on receipts allocated to income must be paid from income.
(b)
A tax required to be paid by a fiduciary which is 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)
Subject to subsection (d) and §§
28-77-504
,
28-77-505
, and
28-77-507
, a tax required to be paid by a fiduciary on a share of an entity's taxable income in an accounting period must be paid from:
(1)
income and principal proportionately to the allocation between income and principal of receipts from the entity in the period; and
(2)
principal to the extent the tax exceeds the receipts from the entity in the period.
(d)
After applying subsections (a) through (c), a fiduciary shall adjust income or principal receipts, to the extent the taxes the fiduciary pays are reduced because of a deduction for a payment made to a beneficiary.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 5 - ALLOCATION OF DISBURSEMENTS (§§ 28-77-501 — 28-77-507) › Section 28-77-507 - Adjustment between income and principal because of taxes

(a)
A fiduciary may make an adjustment between income and principal to offset the shifting of economic interests or tax benefits between current income beneficiaries and successor beneficiaries which arises from:
(1)
an election or decision the fiduciary makes regarding a tax matter, other than a decision to claim an income tax deduction to which subsection (b) applies;
(2)
an income tax or other tax imposed on the fiduciary or a beneficiary as a result of a transaction involving the fiduciary or a distribution by the fiduciary; or
(3)
ownership by the fiduciary of an interest in an entity a part of whose taxable income, whether or not distributed, is includable in the taxable income of the fiduciary or a beneficiary.
(b)
If the amount of an estate tax marital or charitable 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 the fiduciary or a beneficiary are decreased, the fiduciary shall charge each beneficiary that benefits from the decrease in income tax to 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 the principal used to pay the increase would have qualified for a marital or charitable deduction but for the payment. The share of the reimbursement for each fiduciary or beneficiary whose income taxes are reduced must be the same as its share of the total decrease in income tax.
(c)
A fiduciary that charges a beneficiary under subsection (b) may offset the charge by obtaining payment from the beneficiary, withholding an amount from future distributions to the beneficiary, or adopting another method or combination of methods.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 6 - DEATH OF INDIVIDUAL OR TERMINATION OF INCOME INTEREST (§§ 28-77-601 — 28-77-602) › Section 28-77-602 - Distribution to successor beneficiary

(a)
Except to the extent §
28-77-301
et seq. applies for a beneficiary that is a trust, each beneficiary described in §
28-77-601(d)
is entitled to receive a share of the net income equal to the beneficiary's fractional interest in undistributed principal assets, using values as of the distribution date. If a fiduciary makes more than one distribution of assets to beneficiaries to which this section applies, each beneficiary, including a beneficiary that does not receive part of the distribution, is entitled, as of each distribution date, to a share of the net income the fiduciary received after the decedent's death, an income interest's other terminating event, or the preceding distribution by the fiduciary.
(b)
In determining a beneficiary's share of net income under subsection (a), the following rules apply:
(1)
The beneficiary is entitled to receive a share of the net income equal to the beneficiary's fractional interest in the undistributed principal assets immediately before the distribution date.
(2)
The beneficiary's fractional interest under paragraph (1) must be calculated:
(A)
on the aggregate value of the assets as of the distribution date without reducing the value by any unpaid principal obligation; and
(B)
without regard to:
(i)
property specifically given to a beneficiary under the decedent's will or the terms of the trust; and
(ii)
property required to pay pecuniary amounts not in trust.
(3)
The distribution date under paragraph (1) may be the date as of which the fiduciary calculates the value of the assets if that date is reasonably near the date on which the assets are distributed.
(c)
To the extent a fiduciary does not distribute under this section all the collected but undistributed net income to each beneficiary as of a distribution date, the fiduciary shall maintain records showing the interest of each beneficiary in the net income.
(d)
If this section applies to income from an asset, a fiduciary may apply the rules in this section to net gain or loss realized from the disposition of the asset after the decedent's death, an income interest's terminating event, or the preceding distribution by the fiduciary.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 7 - APPORTIONMENT AT BEGINNING AND END OF INCOME INTEREST (§§ 28-77-701 — 28-77-703) › Section 28-77-701 - When right to income begins and ends

(a)
An income beneficiary is entitled to net income in accordance with the terms of the trust from the date an income interest begins. The income interest begins on the date specified in the terms of the trust or, if no date is specified, on the date an asset becomes subject to:
(1)
the trust for the current income beneficiary; or
(2)
a successive interest for a successor beneficiary.
(b)
An asset becomes subject to a trust under subsection (a)(1):
(1)
for an asset that is transferred to the trust during the settlor's life, on the date the asset is transferred;
(2)
for an asset that becomes subject to the trust because of a decedent's death, on the date of the decedent's death, even if there is an intervening period of administration of the decedent's estate; or
(3)
for an asset that is transferred to a fiduciary by a third party because of a decedent's death, on the date of the decedent's death.
(c)
An asset becomes subject to a successive interest under subsection (a)(2) on the day after the preceding income interest ends, as determined under subsection (d), even if there is an intervening period of administration to wind up the preceding income interest.
(d)
An income interest ends on the day before an income beneficiary dies or another terminating event occurs or on the last day of a period during which there is no beneficiary to which a fiduciary may or must distribute income.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 7 - APPORTIONMENT AT BEGINNING AND END OF INCOME INTEREST (§§ 28-77-701 — 28-77-703) › Section 28-77-702 - Apportionment of receipts and disbursements when decedent dies or income interest begins

(a)
A fiduciary shall allocate an income receipt or disbursement, other than a receipt to which §
28-77-601(b)
applies, to principal if its due date occurs before the date on which:
(1)
for an estate, the decedent died; or
(2)
for a trust or successive interest, an income interest begins.
(b)
If the due date of a periodic income receipt or disbursement occurs on or after the date on which a decedent died or an income interest begins, a fiduciary shall allocate the receipt or disbursement to income.
(c)
If an income receipt or disbursement is not periodic or has no due date, a fiduciary shall treat the receipt or disbursement under this section as accruing from day to day. The fiduciary shall allocate to principal the portion of the receipt or disbursement accruing before the date on which a decedent died or an income interest begins, and to income the balance.
(d)
A receipt or disbursement is periodic under subsections (b) and (c) if:
(1)
the receipt or disbursement must be paid at regular intervals under an obligation to make payments; or
(2)
the payor customarily makes payments at regular intervals.
(e)
An item of income or obligation is due under this section on the date the payor is required to make a payment. If a payment date is not stated, there is no due date.
(f)
Distributions to shareholders or other owners from an entity to which §
28-77-401
applies are due:
(1)
on the date fixed by or on behalf of the entity for determining the persons entitled to receive the distribution;
(2)
if no date is fixed, on the date of the decision by or on behalf of the entity to make the distribution; or
(3)
if no date is fixed and the fiduciary does not know the date of the decision by or on behalf of the entity to make the distribution, on the date the fiduciary learns of the decision.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 7 - APPORTIONMENT AT BEGINNING AND END OF INCOME INTEREST (§§ 28-77-701 — 28-77-703) › Section 28-77-703 - Apportionment when income interest ends

(a)
In this section, "undistributed income" means net income received on or before the date on which an income interest ends. The term does not include an item of income or expense which is due or accrued or net income that has been added or is required to be added to principal under the terms of the trust.
(b)
Except as otherwise provided in subsection (c), when a mandatory income interest of a beneficiary ends, the fiduciary shall pay the beneficiary's share of the undistributed income that is not disposed of under the terms of the trust to the beneficiary or, if the beneficiary does not survive the date the interest ends, to the beneficiary's estate.
(c)
If a beneficiary has an unqualified power to withdraw more than five percent of the value of a trust immediately before an income interest ends:
(1)
the fiduciary shall allocate to principal the undistributed income from the portion of the trust which may be withdrawn; and
(2)
subsection (b) applies only to the balance of the undistributed income.
(d)
When a fiduciary's obligation to pay a fixed annuity or a fixed fraction of the value of assets ends, the fiduciary shall prorate the final payment as required to preserve an income tax, gift tax, estate tax, or other tax benefit.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 8 - MISCELLANEOUS PROVISIONS (§§ 28-77-801 — 28-77-803) › Section 28-77-801 - Uniformity of application and construction

In applying and construing this chapter, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 8 - MISCELLANEOUS PROVISIONS (§§ 28-77-801 — 28-77-803) › Section 28-77-802 - Relation to Electronic Signatures in Global and National Commerce Act

This chapter modifies, limits, or supersedes the Electronic Signatures in Global and National Commerce Act,
15 U.S.C. Section 7001
et seq., but does not modify, limit, or supersede Section 101(c) of that act,
15 U.S.C. Section 7001(c)
, or authorize electronic delivery of any of the notices described in Section 103(b) of that act,
15 U.S.C. Section 7003(b)
.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Subtitle 5 - FIDUCIARY RELATIONSHIPS (§§ 28-65-101 — 28-77-803) › Chapter 77 - UNIFORM FIDUCIARY INCOME AND PRINCIPAL ACT (§§ 28-77-101 — 28-77-803) › Subchapter 8 - MISCELLANEOUS PROVISIONS (§§ 28-77-801 — 28-77-803) › Section 28-77-803 - Application to trust or estate

This chapter applies to a trust or estate existing or created on or after January 1, 2022, except as otherwise expressly provided in the terms of the trust or this chapter.
Added by Act 2021, No. 1088,§ 2, eff. 1/1/2022.
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Appendix 28 - ADMINISTRATIVE ORDER NUMBER 12 - OFFICIAL PROBATE FORMS (§ 28) › Appendix 28 - ADMINISTRATIVE ORDER NUMBER 12 - OFFICIAL PROBATE FORMS

The Per Curiam Order of the Supreme Court of Arkansas of January 28, 1999, adopted the revised Official Probate Forms by way of Administrative Order Number 12. The Administrative Order is set out in this appendix for easy reference and includes the revised Official Probate Forms.
PER CURIAM:
"The 1998 report of the Arkansas Supreme Court Committee on Civil Practice contained a proposal to revise the Official Probate Forms. The Committee's suggestions were published in our per curiam order of November 5, 1998 so that members of the bench and bar could have an opportunity to comment. We thank those who took the time to review the proposals and submit comments.
We hereby adopt, effective immediately, and republish the Official Probate Forms as set out below. These official forms supersede all earlier versions. We again express our gratitude to the members of our Civil Practice Committee.
We are adopting the revised Official Probate Forms by way of Administrative Order Number 12; however, we direct that the forms themselves not be published in the
Arkansas Court Rules Volume
published every year. The forms will be published this one time by this per curiam order and will be permanently memorialized in the
Arkansas Reports
.
We direct that with respect to Administrative Order Number 12 only the following appear in the
Arkansas Court Rules Volume
:
'ADMINISTRATIVE ORDER NUMBER 12 OFFICIAL PROBATE FORMS
The Court, pursuant to Ark. Code Ann. §
28-1-114
[repealed] and its constitutional and inherent powers to regulate procedure in the courts, has adopted thirty-three probate forms. These official forms supersede all earlier versions. The forms are published in 336 Ark. Appendix (1999).'
[The materials appearing below shall not be published in the Arkansas Court Rules.]
ADMINISTRATIVE ORDER NUMBER 12 OFFICIAL PROBATE FORMS
Arkansas Code of 1987 (2023) › Title 28 - WILLS, ESTATES, AND FIDUCIARY RELATIONSHIPS (§§ 28-1-101 — 28) › Appendix 28 - ADMINISTRATIVE ORDER NUMBER 12 - OFFICIAL PROBATE FORMS (§ 28) › Section 1 - Authority

The Court, pursuant to Ark. Code Ann. §
28-1-114
[repealed] and its constitutional and inherent powers to regulate procedure in the courts, adopts the following probate forms. These official forms supersede all earlier versions.
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 7.5.

7.5. (a) A conviction within the meaning of this code means a judgment following a plea or verdict of guilty or a plea of nolo contendere or finding of guilt. Any action which a board is permitted to take following the establishment of a conviction may be taken when the time for appeal has elapsed, or the judgment of conviction has been affirmed on appeal or when an order granting probation is made suspending the imposition of sentence. However, a board may not deny a license to an applicant who is otherwise qualified pursuant to subdivision (b) or (c) of Section 480.
(b) (1) Nothing in this section shall apply to the licensure of persons pursuant to Chapter 4 (commencing with Section 6000) of Division 3.
(2) This section does not in any way modify or otherwise affect the existing authority of the following entities in regard to licensure:
(A) The State Athletic Commission.
(B) The Bureau for Private Postsecondary Education.
(C) The California Horse Racing Board.
(c) Except as provided in subdivision (b), this section controls over and supersedes the definition of conviction contained within individual practice acts under this code.
(d) This section shall become operative on July 1, 2020.
(Repealed and added by Stats. 2018, Ch. 995, Sec. 2. (AB 2138) Effective January 1, 2019. Section operative July 1, 2020, by its own provisions.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 10.

10. Whenever, by the provisions of this code, a power is granted to a public officer or a duty imposed upon such an officer, the power may be exercised or duty performed by a deputy of the officer or by a person authorized pursuant to law by the officer, unless it is expressly otherwise provided.
(Enacted by Stats. 1937, Ch. 399.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 12.5.

12.5. Whenever in any provision of this code authority is granted to issue a citation for a violation of any provision of this code, that authority also includes the authority to issue a citation for the violation of any regulation adopted pursuant to any provision of this code.
(Added by Stats. 1986, Ch. 1379, Sec. 1.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 13.

13. The term “materia medica” as used in this code or in any initiative act referred to in this code, means those substances listed in the official United States Pharmacopoeia, the official Homeopathic Pharmacopoeia of the United States, the official United States Dispensatory, New and Nonofficial Remedies, or the National Formulary, or any supplement thereof, except substances covered by subdivision (a) of Section 4052 and Section 4057 of this code.
(Added by Stats. 1961, Ch. 300.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 14.1.

14.1. The Legislature hereby declares its intent that the terms “man” or “men” where appropriate shall be deemed “person” or “persons” and any references to the terms “man” or “men” in sections of this code be changed to “person” or “persons” when such code sections are being amended for any purpose. This act is declaratory and not amendatory of existing law.
(Added by Stats. 1976, Ch. 1171.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 22.

22. “Board,” as used in any provision of this code, refers to the board in which the administration of the provision is vested, and unless otherwise expressly provided, shall include “bureau,” “commission,” “committee,” “department,” “division,” “examining committee,” “program,” and “agency.”
(Amended by Stats. 2010, Ch. 670, Sec. 1. (AB 2130) Effective January 1, 2011.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 23.7.

23.7. Unless otherwise expressly provided, “license” means license, certificate, registration, or other means to engage in a business or profession regulated by this code or referred to in Section 1000 or 3600.
(Added by Stats. 1994, Ch. 26, Sec. 1. Effective March 30, 1994.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 23.8.

23.8. “Licensee” means any person authorized by a license, certificate, registration, or other means to engage in a business or profession regulated by this code or referred to in Sections 1000 and 3600.
Any reference to licentiate in this code shall be deemed to refer to licensee.
(Amended by Stats. 2019, Ch. 351, Sec. 1. (AB 496) Effective January 1, 2020.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 23.9.

23.9. Notwithstanding any other provision of this code, any individual who, while imprisoned in a state prison or other correctional institution, is trained, in the course of a rehabilitation program approved by the particular licensing agency concerned and provided by the prison or other correctional institution, in a particular skill, occupation, or profession for which a state license, certificate, or other evidence of proficiency is required by this code shall not, when released from the prison or institution, be denied the right to take the next regularly scheduled state examination or any examination thereafter required to obtain the license, certificate, or other evidence of proficiency and shall not be denied such license, certificate, or other evidence of proficiency, because of that individual’s imprisonment or the conviction from which the imprisonment resulted, or because the individual obtained the individual’s training in prison or in the correctional institution, if the licensing agency, upon recommendation of the Adult Authority or the Department of the Youth Authority, as the case may be, finds that the individual is a fit person to be licensed.
(Amended by Stats. 2019, Ch. 351, Sec. 2. (AB 496) Effective January 1, 2020.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 25.

25. Any person applying for a license, registration, or the first renewal of a license, after the effective date of this section, as a licensed marriage and family therapist, a licensed clinical social worker, a licensed psychologist, or a licensed professional clinical counselor shall, in addition to any other requirements, show by evidence satisfactory to the agency regulating the business or profession, that they have completed training in human sexuality as a condition of licensure. The training shall be creditable toward continuing education requirements as deemed appropriate by the agency regulating the business or profession, and the course shall not exceed more than 50 contact hours.
The Board of Psychology shall exempt from the requirements of this section any persons whose field of practice is such that they are not likely to have use for this training.
“Human sexuality” as used in this section means the study of a human being as a sexual being and how a human being functions with respect thereto.
The content and length of the training shall be determined by the administrative agency regulating the business or profession and the agency shall proceed immediately upon the effective date of this section to determine what training, and the quality of staff to provide the training, is available and shall report its determination to the Legislature on or before July 1, 1977.
If a licensing board or agency proposes to establish a training program in human sexuality, the board or agency shall first consult with other licensing boards or agencies that have established or propose to establish a training program in human sexuality to ensure that the programs are compatible in scope and content.
(Amended by Stats. 2019, Ch. 351, Sec. 3. (AB 496) Effective January 1, 2020.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 26.

26. Wherever, pursuant to this code, any state department, officer, board, agency, committee, or commission is authorized to adopt rules and regulations, such rules and regulations which are building standards, as defined in Section 18909 of the Health and Safety Code, shall be adopted pursuant to the provisions of Part 2.5 (commencing with Section 18901) of Division 13 of the Health and Safety Code unless the provisions of Sections 18930, 18933, 18938, 18940, 18943, 18944, and 18945 of the Health and Safety Code are expressly excepted in the provision of this code under which the authority to adopt the specific building standard is delegated. Any building standard adopted in violation of this section shall have no force or effect. Any building standard adopted prior to January 1, 1980, pursuant to this code and not expressly excepted by statute from such provisions of the State Building Standards Law shall remain in effect only until January 1, 1985, or until adopted, amended, or superseded by provisions published in the State Building Standards Code, whichever occurs sooner.
(Added by Stats. 1979, Ch. 1152.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 27.6.

27.6. The successor agency to the Bureau for Private Postsecondary and Vocational Education shall transmit any available data regarding school performance, including, but not limited to, attendance and graduation rates, it receives from any schools under its jurisdiction to the California Postsecondary Education Commission.
(Added by Stats. 2009, Ch. 642, Sec. 1. (SB 599) Effective November 2, 2009. Became operative as provided in Sec. 5 of Ch. 642.)
2023 California Code › Business and Professions Code - BPC › GENERAL PROVISIONS › Section 29.

29. (a) The Board of Psychology and the Board of Behavioral Sciences shall consider adoption of continuing education requirements including training in the area of recognizing chemical dependency and early intervention for all persons applying for renewal of a license as a psychologist, clinical social worker, marriage and family therapist, or professional clinical counselor.
(b) Prior to the adoption of any regulations imposing continuing education relating to alcohol and other chemical dependency, the boards are urged to consider coursework to include, but not necessarily be limited to, the following topics:
(1) Historical and contemporary perspectives on alcohol and other drug abuse.
(2) Extent of the alcohol and drug abuse epidemic and its effects on the individual, family, and community.
(3) Recognizing the symptoms of alcoholism and drug addiction.
(4) Making appropriate interpretations, interventions, and referrals.
(5) Recognizing and intervening with affected family members.
(6) Learning about current programs of recovery, such as 12 step programs, and how therapists can effectively utilize these programs.
(Amended by Stats. 2011, Ch. 381, Sec. 3. (SB 146) Effective January 1, 2012.)