{"data":{"id":"us-ky/krs-386.486","jurisdiction":"us-ky","citation":"KRS 386.486","heading":"Receipts from timber.","body":"(1) To the extent that a trustee accounts for receipts from the sale of timber and related\nproducts pursuant to this section, the trustee shall allocate the net receipts:\n(a) To income to the extent that the amount of timber removed from the land does\nnot exceed the rate of growth of the timber during the accounting periods in\nwhich a beneficiary has a mandatory income interest;\n(b) To principal to the extent that the amount of timber removed from the land\nexceeds the rate of growth of the timber or the net receipts are from the sale of\nstanding timber;\n(c) To or between income and principal if the net receipts are from the lease of\ntimberland or from a contract to cut timber from land owned by a trust, by\ndetermining the amount of timber removed from the land u nder the lease or\ncontract and applying the rules in paragraphs (a) and (b) of this subsection; or\n(d) To principal to the extent that advance payments, bonuses, and other payments\nare not allocated pursuant to paragraphs (a), (b), or (c) of this subsection.\n(2) In determining net receipts allocated under subsection (1) of this section, a trustee\nshall deduct and transfer to principal a reasonable amount for depletion.\n(3) KRS 386.450 to 386.504 apply whether or not a decedent or transferor was\nharvesting timber from the property before it became subject to the trust.\n(4) If a trust owns an interest in timberland on January 1, 2005, the trustee may allocate\nnet receipts from the sale of timber and related products as provided in KRS\n386.450 to 386.504 or in the manner used by the trustee before January 1, 2005. If\nthe trust acquires an interest in timberland after January 1, 2005, the trustee shall\nallocate net receipts from the sale of timber and related products as provided in\nKRS 386.450 to 386.504.","path":["KRS Chapter 386"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=35935","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:16Z","sha256":"9f9ea7aa6008207c67e79949c0f0a75ffddd4ebc78ff8d94005a07c1ac68acca","source_id":"us-ky","stale":false,"prev":"us-ky/krs-386.484","next":"us-ky/krs-386.488"},"notice":"GroundRules: Original legal text. Not legal advice."}