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The DC Code: § 28-4804.08 Insubstantial allocations not required.

Index28 Commercial Instruments and Transactions. (Refs & Annos)

If a trustee determines that an allocation between principal and income required by § 28-4804.09, § 28-4804.10, § 28-4804.11, § 28-4804.12, or § 28-4804.15 is insubstantial, the trustee may allocate the entire amount to principal unless one of the circumstances described in § 28-4801.04(c) applies to the allocation. This power may be exercised by a cotrustee in the circumstances described in § 28-4801.04(d) and may be released for the reasons and in the manner described in § 28-4801.04(e). An allocation is presumed to be insubstantial if:

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; or
The value of the asset producing the receipt for which the allocation would be made is less than 10 percent of the total value of the trust's assets at the beginning of the accounting period.

Historical and Statutory

Legislative History of Laws For Law 13-292, see notes following § 28-4801.01. Uniform Law This section is based upon § 408 of the Uniform Principal and Income Act (1997 Act). See 7B Uniform Laws Annotated, Master Edition, or ULA Database on Westlaw. DC CODE § 28-4804.08 Current through December 11, 2012


(Apr. 27, 2001, D.C. Law 13-292, § 502(c), 48 DCR 2087.)