(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 fiduciary as beneficiary;
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Terms Used In Alabama Code 19-3A-404
Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
Contract: A legal written agreement that becomes binding when signed.
Decedent: A deceased person.
Fiduciary: A trustee, executor, or administrator.
property: includes both real and personal property. See Alabama Code 1-1-1
(2) Subject to any contrary rules in Section 19-3A-401 through Section 19-3A-415, 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 Section 19-3A-502(c) or for other reasons 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 fiduciary may or must distribute income; and(6) Other receipts as provided in Section 19-3A-408 through Section 19-3A-415.
