72-34-436. Amounts allocated to principal. A trustee shall allocate to principal:
     (1) to the extent not allocated to income under this chapter, assets received from a transferor during the transferor's lifetime, a decedent's estate, a trust with a terminating income interest, or a payer under a contract naming the trust or its trustee as beneficiary;
     (2) subject to any contrary rules in 72-34-433 through 72-34-447, money or other property received from the sale, exchange, liquidation, or change in form of a principal asset, including realized profit;
     (3) amounts recovered from third parties to reimburse the trust because of disbursements described in 72-34-449(1)(g) or for other reasons to the extent not based on the loss of income;
     (4) proceeds of property taken by eminent domain, but a separate award made for the loss of income with respect to an accounting period during which a current income beneficiary had a mandatory income interest is income;
     (5) net income received in an accounting period during which there is no beneficiary to whom a trustee may or is required to distribute income; and
     (6) other receipts allocated to principal as provided in 72-34-440 through 72-34-447.

     History: En. Sec. 16, Ch. 506, L. 2003.