Missouri Revised Statutes
Chapter 469
Disclaimers of Property
←469.421
Section 469.423.1
469.425→
August 28, 2015
Allocations by trustee--entity defined.
469.423. 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 trustee has an interest, other than a trust or estate
to which section 469.425 applies, a business or activity to which section
469.427 applies, or an asset-backed security to which section 469.449 applies.
2. Except as otherwise provided in this section, a trustee shall allocate
to income money received from an entity.
3. A trustee shall allocate the following receipts from an entity to
principal:
(1) Property other than money;
(2) Money received in one distribution or a series of related
distributions in exchange for part or all of a trust's interest in the entity;
(3) Money received in total or partial liquidation of the entity; and
(4) Money received from an entity that is a regulated investment company
or a real estate investment trust if the money distributed is a capital gain
dividend for federal income tax purposes.
4. Money is received in partial liquidation:
(1) To the extent that the entity, at or near the time of a
distribution, indicates that such money is a distribution in partial
liquidation; or
(2) If the total amount of money and property received in a distribution
or series of related distributions is greater than twenty percent of the
entity's gross assets, as shown by the entity's year-end financial statements
immediately preceding the initial receipt.
5. Money is not received in partial liquidation, nor may it be taken into
account pursuant to subdivision (2) of subsection 4 of this section, to the
extent that such money does not exceed the amount of income tax that a
trustee or beneficiary shall pay on taxable income of the entity that
distributes the money.
6. A trustee may rely upon a statement made by an entity about the source
or character of a distribution if the statement is made at or near the time
of distribution by the entity's board of directors or other person or group of
persons authorized to exercise powers to pay money or transfer property
comparable to those of a corporation's board of directors.
(L. 2001 H.B. 241, A.L. 2004 H.B. 1511)
2001
2001
469.423. 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 trustee has an interest, other than a trust or
estate to which section 469.425 applies, a business or activity to which
section 469.427 applies, or an asset-backed security to which section
469.447 applies.
2. Except as otherwise provided in this section, a trustee shall
allocate to income money received from an entity.
3. A trustee shall allocate the following receipts from an entity to
principal:
(1) Property other than money;
(2) Money received in one distribution or a series of related
distributions in exchange for part or all of a trust's interest in the
entity;
(3) Money received in total or partial liquidation of the entity; and
(4) Money received from an entity that is a regulated investment
company or a real estate investment trust if the money distributed is a
capital gain dividend for federal income tax purposes.
4. Money is received in partial liquidation:
(1) To the extent that the entity, at or near the time of a
distribution, indicates that such money is a distribution in partial
liquidation; or
(2) If the total amount of money and property received in a
distribution or series of related distributions is greater than twenty
percent of the entity's gross assets, as shown by the entity's year-end
financial statements immediately preceding the initial receipt.
5. Money is not received in partial liquidation, nor may it be taken
into account pursuant to subdivision (2) of subsection 4 of this section,
to the extent that such money does not exceed the amount of income tax that
a trustee or beneficiary shall pay on taxable income of the entity that
distributes the money.
6. A trustee may rely upon a statement made by an entity about the
source or character of a distribution if the statement is made at or near
the time of distribution by the entity's board of directors or other person
or group of persons authorized to exercise powers to pay money or transfer
property comparable to those of a corporation's board of directors.
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