{"data":{"id":"us-mt/72-34-450","jurisdiction":"us-mt","citation":"72-34-450","heading":"Assets subject to depreciation -- transfer from income to principal of portion of net cash receipts.","body":"(1) For purposes of this section, \"depreciation\" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than 1 year.\n(2) A trustee may transfer from income to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, under generally accepted accounting principles, but may not transfer any amount for depreciation under this section in any of the following circumstances:\n(a) as to the 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(b) during the administration of a decedent's estate; or\n(c) if the trustee is accounting under 72-34-435 for the business or activity in which the asset is used.\n(3) An amount transferred from income to principal need not be held as a separate fund.","path":["TITLE 72. ESTATES, TRUSTS, AND FIDUCIARY RELATIONSHIPS","CHAPTER 34. PRINCIPAL AND INCOME","Part 4. Montana Uniform Principal and Income Act"],"source_url":"https://mca.legmt.gov/bills/mca/title_0720/chapter_0340/part_0040/section_0500/0720-0340-0040-0500.html","current_through":"Montana Code Annotated 2025","vintage":"","retrieved_at":"2026-09-14T04:59:30Z","sha256":"9c6bdebae46d2dc6c364c06955906783ed26df5730f278fa37df6432137b65fd","source_id":"us-mt","stale":false,"prev":"us-mt/72-34-449","next":"us-mt/72-34-451"},"notice":"GroundRules: Original legal text. Not legal advice."}