CHAPTER 61. DELAWARE UNIFORM PRINCIPAL AND INCOME ACT
Subchapter III. Apportionment at Beginning and End of Income Interest
§ 61-301. When right to income begins and ends.
(a) An income beneficiary is entitled to net income from the date on which the income interest begins. 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 income interest.
(b) An asset becomes subject to a trust:
(1) On the date it is transferred to the trust in the case of an asset that is transferred to a trust during the transferor's
life;
(2) On the date of a testator's death in the case of an asset that becomes subject to a trust by reason of a will, even if
there is an intervening period of administration of the testator's estate; or
(3) On the date of an individual's death in the case of an asset that is transferred to a fiduciary by a third party because
of the individual's death.
(c) An asset becomes subject to a successive income interest on the day after the preceding income interest ends, as determined
under subsection (d) of this section, 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 whom a trustee may distribute income.
77 Del. Laws, c. 99, § 1.;
§ 61-302. Apportionment of receipts and disbursements when decedent dies or income interest begins.
(a) A trustee shall allocate an income receipt or disbursement other than 1 to which § 61-201(1) of this title applies to
principal if its due date occurs before a decedent dies in the case of an estate or before an income interest begins in the
case of a trust or successive income interest.
(b) A trustee shall allocate an income receipt or disbursement to income if its due date occurs on or after the date on which
a decedent dies or an income interest begins and it is a periodic due date. An income receipt or disbursement must be treated
as accruing from day to day if its due date is not periodic or it has no due date. The portion of the receipt or disbursement
accruing before the date on which a decedent dies or an income interest begins must be allocated to principal and the balance
must be allocated to income.
(c) An item of income or an obligation is due on the date the payer is required to make a payment. If a payment date is not
stated, there is no due date for the purposes of this chapter. Distributions to shareholders or other owners from an entity
to which § 61-401 of this title applies are deemed to be due on the date fixed by the entity for determining who is entitled
to receive the distribution or, if no date is fixed, on the declaration date for the distribution. A due date is periodic
for receipts or disbursements that must be paid at regular intervals under a lease or an obligation to pay interest or if
an entity customarily makes distributions at regular intervals.
77 Del. Laws, c. 99, § 1.;
§ 61-303. Apportionment when income interest ends.
(a) In this section, "undistributed income" means net income received 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 added to principal under the terms of the trust.
(b) When a mandatory income interest ends, the trustee shall pay to a mandatory income beneficiary who survives that date,
or the estate of a deceased mandatory income beneficiary whose death causes the interest to end, the beneficiary's share of
the undistributed income that is not disposed of under the terms of the trust unless the beneficiary has an unqualified power
to revoke more than 5 percent of the trust immediately before the income interest ends. In the latter case, the undistributed
income from the portion of the trust that may be revoked must be added to principal.
(c) When a trustee's obligation to pay a fixed annuity or a fixed fraction of the value of the trust's assets ends, the trustee
shall prorate the final payment if and to the extent required by applicable law to accomplish a purpose of the trust or its
settlor relating to income, gift, estate, or other tax requirements.
CHAPTER 61. DELAWARE UNIFORM PRINCIPAL AND INCOME ACT
Subchapter III. Apportionment at Beginning and End of Income Interest
§ 61-301. When right to income begins and ends.
(a) An income beneficiary is entitled to net income from the date on which the income interest begins. 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 income interest.
(b) An asset becomes subject to a trust:
(1) On the date it is transferred to the trust in the case of an asset that is transferred to a trust during the transferor's
life;
(2) On the date of a testator's death in the case of an asset that becomes subject to a trust by reason of a will, even if
there is an intervening period of administration of the testator's estate; or
(3) On the date of an individual's death in the case of an asset that is transferred to a fiduciary by a third party because
of the individual's death.
(c) An asset becomes subject to a successive income interest on the day after the preceding income interest ends, as determined
under subsection (d) of this section, 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 whom a trustee may distribute income.
77 Del. Laws, c. 99, § 1.;
§ 61-302. Apportionment of receipts and disbursements when decedent dies or income interest begins.
(a) A trustee shall allocate an income receipt or disbursement other than 1 to which § 61-201(1) of this title applies to
principal if its due date occurs before a decedent dies in the case of an estate or before an income interest begins in the
case of a trust or successive income interest.
(b) A trustee shall allocate an income receipt or disbursement to income if its due date occurs on or after the date on which
a decedent dies or an income interest begins and it is a periodic due date. An income receipt or disbursement must be treated
as accruing from day to day if its due date is not periodic or it has no due date. The portion of the receipt or disbursement
accruing before the date on which a decedent dies or an income interest begins must be allocated to principal and the balance
must be allocated to income.
(c) An item of income or an obligation is due on the date the payer is required to make a payment. If a payment date is not
stated, there is no due date for the purposes of this chapter. Distributions to shareholders or other owners from an entity
to which § 61-401 of this title applies are deemed to be due on the date fixed by the entity for determining who is entitled
to receive the distribution or, if no date is fixed, on the declaration date for the distribution. A due date is periodic
for receipts or disbursements that must be paid at regular intervals under a lease or an obligation to pay interest or if
an entity customarily makes distributions at regular intervals.
77 Del. Laws, c. 99, § 1.;
§ 61-303. Apportionment when income interest ends.
(a) In this section, "undistributed income" means net income received 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 added to principal under the terms of the trust.
(b) When a mandatory income interest ends, the trustee shall pay to a mandatory income beneficiary who survives that date,
or the estate of a deceased mandatory income beneficiary whose death causes the interest to end, the beneficiary's share of
the undistributed income that is not disposed of under the terms of the trust unless the beneficiary has an unqualified power
to revoke more than 5 percent of the trust immediately before the income interest ends. In the latter case, the undistributed
income from the portion of the trust that may be revoked must be added to principal.
(c) When a trustee's obligation to pay a fixed annuity or a fixed fraction of the value of the trust's assets ends, the trustee
shall prorate the final payment if and to the extent required by applicable law to accomplish a purpose of the trust or its
settlor relating to income, gift, estate, or other tax requirements.
CHAPTER 61. DELAWARE UNIFORM PRINCIPAL AND INCOME ACT
Subchapter III. Apportionment at Beginning and End of Income Interest
§ 61-301. When right to income begins and ends.
(a) An income beneficiary is entitled to net income from the date on which the income interest begins. 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 income interest.
(b) An asset becomes subject to a trust:
(1) On the date it is transferred to the trust in the case of an asset that is transferred to a trust during the transferor's
life;
(2) On the date of a testator's death in the case of an asset that becomes subject to a trust by reason of a will, even if
there is an intervening period of administration of the testator's estate; or
(3) On the date of an individual's death in the case of an asset that is transferred to a fiduciary by a third party because
of the individual's death.
(c) An asset becomes subject to a successive income interest on the day after the preceding income interest ends, as determined
under subsection (d) of this section, 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 whom a trustee may distribute income.
77 Del. Laws, c. 99, § 1.;
§ 61-302. Apportionment of receipts and disbursements when decedent dies or income interest begins.
(a) A trustee shall allocate an income receipt or disbursement other than 1 to which § 61-201(1) of this title applies to
principal if its due date occurs before a decedent dies in the case of an estate or before an income interest begins in the
case of a trust or successive income interest.
(b) A trustee shall allocate an income receipt or disbursement to income if its due date occurs on or after the date on which
a decedent dies or an income interest begins and it is a periodic due date. An income receipt or disbursement must be treated
as accruing from day to day if its due date is not periodic or it has no due date. The portion of the receipt or disbursement
accruing before the date on which a decedent dies or an income interest begins must be allocated to principal and the balance
must be allocated to income.
(c) An item of income or an obligation is due on the date the payer is required to make a payment. If a payment date is not
stated, there is no due date for the purposes of this chapter. Distributions to shareholders or other owners from an entity
to which § 61-401 of this title applies are deemed to be due on the date fixed by the entity for determining who is entitled
to receive the distribution or, if no date is fixed, on the declaration date for the distribution. A due date is periodic
for receipts or disbursements that must be paid at regular intervals under a lease or an obligation to pay interest or if
an entity customarily makes distributions at regular intervals.
77 Del. Laws, c. 99, § 1.;
§ 61-303. Apportionment when income interest ends.
(a) In this section, "undistributed income" means net income received 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 added to principal under the terms of the trust.
(b) When a mandatory income interest ends, the trustee shall pay to a mandatory income beneficiary who survives that date,
or the estate of a deceased mandatory income beneficiary whose death causes the interest to end, the beneficiary's share of
the undistributed income that is not disposed of under the terms of the trust unless the beneficiary has an unqualified power
to revoke more than 5 percent of the trust immediately before the income interest ends. In the latter case, the undistributed
income from the portion of the trust that may be revoked must be added to principal.
(c) When a trustee's obligation to pay a fixed annuity or a fixed fraction of the value of the trust's assets ends, the trustee
shall prorate the final payment if and to the extent required by applicable law to accomplish a purpose of the trust or its
settlor relating to income, gift, estate, or other tax requirements.