{"data":{"id":"us-hi/haw.-rev.-stat.-557a-503","jurisdiction":"us-hi","citation":"Haw. Rev. Stat. § 557A-503","heading":"Transfers from income to principal for depreciation.","body":"(a) As used in this section, \"depreciation\" means a reduction in value of a fixed asset having a useful life of more than one year, due to wear, tear, decay, corrosion, or gradual obsolescence.\n\n(b) A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but a transfer may not be made for depreciation:\n\n(1) Of that portion of real property used or available for use by a beneficiary as a residence or of tangible personal property held or made available for the personal use or enjoyment of a beneficiary;\n\n(2) During the administration of a decedent's estate; or\n\n(3) Under this section if the trustee is accounting under section 557A-403 for the business or activity in which the asset is used.\n\n(c) An amount transferred to principal need not be held as a separate fund.","path":["HI Code","Division 3","Title 30","Chapter 557A"],"source_url":"http://www.capitol.hawaii.gov/hrscurrent/Vol12_Ch0501-0588/HRS0557A/HRS_0557A-0503.htm","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:11Z","sha256":"e30cd410a157d185a45073d42387f2de20594b7638db436c648826172001cd3b","source_id":"us-hi","stale":false,"prev":"us-hi/haw.-rev.-stat.-557a-502","next":"us-hi/haw.-rev.-stat.-557a-504"},"notice":"GroundRules: Original legal text. Not legal advice."}