738.101 – Short Title.
738.101 Short title.—This chapter may be cited as the “Florida Uniform Principal and Income Act.” History.—s. 1, ch. 2002-42.
738.102 – Definitions.
738.102 Definitions.—As used in this chapter, the term: (1) “Accounting period” means a calendar year unless another 12-month period is selected by a fiduciary. The term includes a portion of a calendar year or other 12-month period that begins when an income interest begins or ends when an income interest ends. (2) “Beneficiary” means, in the case of […]
738.103 – Fiduciary Duties; General Principles.
738.103 Fiduciary duties; general principles.— (1) In allocating receipts and disbursements to or between principal and income, and with respect to any matter within the scope of ss. 738.201 and 738.202 and ss. 738.301-738.303, a fiduciary: (a) Shall administer a trust or estate in accordance with the terms of the trust or the will, even if there is […]
738.104 – Trustee’s Power to Adjust.
738.104 Trustee’s power to adjust.— (1) A trustee may adjust between principal and income to the extent the trustee considers necessary if the trustee invests and manages trust assets as a prudent investor, the terms of the trust describe the amount that may or shall be distributed to a beneficiary by referring to the trust’s income, and […]
738.1041 – Total Return Unitrust.
738.1041 Total return unitrust.— (1) For purposes of this section, the term: (a) “Average fair market value” means the average of the fair market values of assets held by the trust at the beginning of the current and each of the 2 preceding years, or for the entire term of the trust if there are less than 2 […]
738.105 – Judicial Control of Discretionary Powers.
738.105 Judicial control of discretionary powers.— (1) A court may not change a trustee’s decision to exercise or not to exercise a discretionary power conferred by this chapter unless the court determines that the decision was an abuse of the trustee’s discretion. A court may not determine that a trustee abused its discretion merely because the court […]
738.201 – Determination and Distribution of Net Income.
738.201 Determination and distribution of net income.—After a decedent dies, in the case of an estate, or after an income interest in a trust ends, the following rules apply: (1) A fiduciary of an estate or of a terminating income interest shall determine the amount of net income and net principal receipts received from property specifically given […]
738.202 – Distribution to Residuary and Remainder Beneficiaries.
738.202 Distribution to residuary and remainder beneficiaries.— (1) Each beneficiary described in s. 738.201(4) is entitled to receive a portion of the net income remaining after the application of s. 738.201(1)-(3), which is equal to the beneficiary’s fractional interest in undistributed principal assets, using carrying values as of the distribution date. If a fiduciary makes more than […]
738.301 – When Right to Income Begins and Ends.
738.301 When right to income begins and ends.—An income beneficiary is entitled to net income from the date on which the income interest begins. (1) An 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 a trust or successive […]
738.302 – Apportionment of Receipts and Disbursements When Decedent Dies or Income Interest Begins.
738.302 Apportionment of receipts and disbursements when decedent dies or income interest begins.— (1) A fiduciary shall allocate an income receipt or disbursement other than one to which s. 738.201(1) applies to principal if the due date of the receipt or disbursement occurs before a decedent dies in the case of an estate or before an income […]
738.303 – Apportionment When Income Interest Ends.
738.303 Apportionment when income interest ends.— (1) For purposes of 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 that is due or accrued or net income that has been added or is required to be […]
738.401 – Character of Receipts.
738.401 Character of receipts.— (1) For purposes of this section, the term “entity” means a corporation, partnership, limited liability company, regulated investment company, real estate investment trust, common trust fund, or any other organization in which a fiduciary has an interest other than a trust or estate to which s. 738.402 applies, a business or activity to […]
738.402 – Distribution From Trust or Estate.
738.402 Distribution from trust or estate.—A fiduciary shall allocate to income an amount received as a distribution of income from a trust or an estate in which the trust has an interest other than a purchased interest and allocate to principal an amount received as a distribution of principal from such a trust or estate. If […]
738.403 – Business and Other Activities Conducted by Fiduciary.
738.403 Business and other activities conducted by fiduciary.— (1) If a fiduciary who conducts a business or other activity determines that it is in the best interest of all the beneficiaries to account separately for the business or activity instead of accounting for the business or activity as part of the trust’s or estate’s general accounting records, […]
738.501 – Principal Receipts.
738.501 Principal receipts.—A fiduciary shall allocate to principal: (1) To the extent not allocated to income under this chapter, assets received from a donor during the donor’s lifetime, a decedent’s estate, a trust with a terminating income interest, or a payor under a contract naming the trust, estate, or fiduciary as beneficiary. (2) Money or other property received […]
738.502 – Rental Property.
738.502 Rental property.—If a fiduciary accounts for receipts from rental property pursuant to this section, the fiduciary shall allocate to income an amount received as rent of real or personal property, including an amount received for cancellation or renewal of a lease. An amount received as a refundable deposit, including a security deposit or a deposit […]
738.503 – Obligation to Pay Money.
738.503 Obligation to pay money.— (1) An amount received as interest, whether determined at a fixed, variable, or floating rate, on an obligation to pay money to the fiduciary, including an amount received as consideration for prepaying principal, shall be allocated to income without any provision for amortization of premium. (2) Except as otherwise provided herein, a fiduciary […]
738.504 – Insurance Policies and Similar Contracts.
738.504 Insurance policies and similar contracts.— (1) Except as otherwise provided in subsection (2), a fiduciary shall allocate to principal the proceeds of a life insurance policy or other contract in which the trust, estate, or fiduciary is named as beneficiary, including a contract that insures the trust, estate, or fiduciary against loss for damage to, destruction […]
738.601 – Insubstantial Allocations Not Required.
738.601 Insubstantial allocations not required.—If a fiduciary determines that an allocation between principal and income required by s. 738.602, s. 738.603, s. 738.604, s. 738.605, or s. 738.608 is insubstantial, the fiduciary may allocate the entire amount to principal unless one of the circumstances described in s. 738.104(3) applies to the allocation. This power may be […]
738.602 – Payments From Deferred Compensation Plans, Annuities, and Retirement Plans or Accounts.
738.602 Payments from deferred compensation plans, annuities, and retirement plans or accounts.— (1) As used in this section, the term: (a) “Fund” means a private or commercial annuity, an individual retirement account, an individual retirement annuity, a deferred compensation plan, a pension plan, a profit-sharing plan, a stock-bonus plan, an employee stock-ownership plan, or another similar arrangement in […]