Terms Used In Virginia Code 64.2-1036

• Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
• Distribution: means a payment or transfer by a fiduciary to a beneficiary in the beneficiary's capacity as a beneficiary, made under the terms of the trust, without consideration other than the beneficiary's right to receive the payment or transfer under the terms of the trust. See Virginia Code 64.2-1033
• Estate: includes the property of the decedent as the estate is originally constituted and the property of the estate as it exists at any time during administration. See Virginia Code 64.2-1033
• Fiduciary: A trustee, executor, or administrator.
• Fiduciary: includes a trustee, trust director under the Uniform Directed Trust Act (§ 64. See Virginia Code 64.2-1033
• Income: includes a part of receipts from a sale, exchange, or liquidation of a principal asset, to the extent provided in Articles 4 (§ 64.2-1038, convert an income trust to a unitrust under subdivision A 1 of § 64.2-1041, change the percentage or method used to calculate a unitrust amount under subdivision A 2 of § 64.2-1041, or convert a unitrust to an income trust under subdivision A 3 of § 64.2-1041 if the fiduciary determines the exercise of the power will assist the fiduciary to administer the trust or estate impartially.

  E. Factors the fiduciary must consider in making the determination under subsection D include:

  1. The terms of the trust;

  2. The nature, distribution standards, and expected duration of the trust;

  3. The effect of the allocation rules, including specific adjustments between income and principal, under Articles 4 (§ 64.2-1048 et seq.) through 9 (§ 64.2-1073 et seq.);

  4. The desirability of liquidity and regularity of income;

  5. The desirability of the preservation and appreciation of principal;

  6. The extent to which an asset is used or may be used by a beneficiary;

  7. The increase or decrease in the value of principal assets, reasonably determined by the fiduciary;

  8. Whether and to what extent the terms of the trust give the fiduciary power to accumulate income or invade principal or prohibit the fiduciary from accumulating income or invading principal;

  9. The extent to which the fiduciary has accumulated income or invaded principal in preceding accounting periods;

  10. The effect of current and reasonably expected economic conditions; and

  11. The reasonably expected tax consequences of the exercise of the power.

  2022, c. 354.