{"data":{"id":"us-ky/krs-386.464","jurisdiction":"us-ky","citation":"KRS 386.464","heading":"\"Undistributed income\" defined -- Apportionment when income interest","body":"ends.\n(1) In this section, \"undistributed income\" means net income received before the date\non which an income interest ends. The term shall not include an item of income or\nexpense that is due or accrued or net income that has been added or is required to be\nadded to principal under the terms of the trust.\n(2) When a mandatory income interest ends, the trustee shall pay to a mandatory\nincome beneficiary who survives that date, or the estate of a deceased mandatory\nincome beneficiary whose death causes the interest to end, the beneficiary's share of\nthe undistributed income that is not disposed of under the terms of the trust unless\nthe beneficiary has an unqualified power to revoke more than five percent (5%) of\nthe trust immediately before the income interest en ds. In the latter case, the\nundistributed income from the portion of the trust that may be revoked shall be\nadded to principal.\n(3) When a trustee's obligation to pay a fixed annuity or a fixed fraction of the value of\nthe trust's assets ends, the trustee shall prorate the final payment if and to the extent\nrequired by applicable law to accomplish a purpose of the trust or its settlor relating\nto income, gift, estate, or other tax requirements. The settlor may change the\ncharitable beneficiary of a trust by  will or through written notice to trustee, or may\ndecline to make a change in like manner, so long as the change does not alter the\nincome, gift, estate, or other tax benefits available under the terms of the trust.","path":["KRS Chapter 386"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=35924","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:16Z","sha256":"36f2e08e24af014fcc79869c69699037cc54848cb2064109736889dd21fe8cc3","source_id":"us-ky","stale":false,"prev":"us-ky/krs-386.462","next":"us-ky/krs-386.466"},"notice":"GroundRules: Original legal text. Not legal advice."}