55-15-1.Definitions. Terms used in this chapter mean: (1)”Disinterested person,” any person who is not a related or subordinate party, as defined in section 672(c) of the Internal Revenue Code (26 U.S.C. section 1, et seq.), with respect to the person then acting as trustee of the trust and excludes the trustor of the trust and […]
55-15-10. Distributions of principal not affected by conversion. Conversion to a total return unitrust under the provisions of this chapter does not affect any other provisions of the governing instrument, if any, regarding distributions of principal. Source: SL 2002, ch 225, §10.
55-15-11. Spouse may compel reconversion to income trust for certain trusts–Written instrument required. In the case of a trust for which a marital deduction has been taken for federal tax purpose under I.R.C. section 2056 or 2523, the spouse otherwise entitled to receive the net income of the trust has the right, by written instrument […]
55-15-12.Applicability of chapter. This chapter shall be construed as pertaining to the administration of a trust and shall be available to any trust that is administered in South Dakota under South Dakota law unless (i) the governing instrument reflects an intention that the current beneficiary or beneficiaries are to receive an amount other than a […]
55-15-13. Trustee acting in good faith not liable–Remedy. Any trustee or disinterested person who in good faith takes or fails to take any action under this chapter is not liable to any person affected by such action or inaction, regardless of whether such person received written notice as provided in this chapter and regardless of […]
55-15-14. No duty to act created. Nothing in this chapter is intended to create or imply a duty to take any action under this chapter, and no trustee is liable for not considering whether to take any action or for choosing not to take any such action. Source: SL 2002, ch 225, §14.
55-15-15.Chapter not applicable to charitable remainder unitrust. This chapter does not apply to a charitable remainder unitrust as defined by §664(d) of the Internal Revenue Code of 1986 (26 U.S. C. §664), as of January 1, 2009. Source: SL 2009, ch 252, §38.
55-15-2. Trustee’s authority to convert income trust, total return unitrust–Calculate trust amount, value–Conditions. A trustee, other than an interested trustee, or, if two or more persons are acting as trustee, a majority of the trustees who are not an interested trustee (in either case hereafter “trustee”), may, in its sole discretion and without the approval […]
55-15-3. Interested trustee’s authority over actions enumerated in §55-15-2–Conditions. If there is no trustee of the trust other than an interested trustee, the interested trustee or, if two or more persons are acting as trustee and are interested trustees, a majority of such interested trustees, may, in its sole discretion and without the approval of […]
55-15-4. Trustee may petition court–Appointment of disinterested person. If any trustee desires to (i) convert an income trust to a total return unitrust, (ii) reconvert a total return unitrust to an income trust, or (iii) change the percentage used to calculate the unitrust amount and the method used to determine the fair market value of […]
55-15-5. Annual valuation of trust required. The fair market value of the trust shall be determined at least annually, using such valuation date or dates or averages of valuation dates as are deemed appropriate. Assets for which a fair market value cannot be readily ascertained shall be valued using such valuation methods as are deemed […]
55-15-6. Calculation of unitrust amount. The unitrust amount shall be determined as follows: (1)For the first three accounting periods of the trust, the unitrust amount for a current valuation year of the trust may not be less than three percent, nor more than five percent, by the election of the trustee, the disinterested person, or […]
55-15-8. Unitrust amount as net income of trust–Allocation of capital gains to trust income. Following the conversion of an income trust to a total return unitrust, the trustee: (1)Shall treat the unitrust amount as if it were net income of the trust for purposes of determining the amount available, from time to time, for distributions […]
55-15-9. Administration of total return unitrust–Authority of trustee. In administering a total return unitrust, the trustee may, in its sole discretion but subject to the provisions of the governing instrument, determine: (1)The effective date of the conversion; (2)The timing of distributions (including provisions for prorating a distributions for a short year in which a beneficiary’ […]
