{"data":{"id":"us-va/va.-code-64.2-1068","jurisdiction":"us-va","citation":"Va. Code § 64.2-1068","heading":"Reimbursement of principal from income","body":"A. If a fiduciary makes or expects to make a principal disbursement described in subsection B, the fiduciary may transfer an appropriate amount from income to principal in one or more accounting periods to reimburse principal or provide a reserve for future principal disbursements.B. To the extent a fiduciary has not been and does not expect to be reimbursed by a third party, principal disbursements to which subsection A applies include:1. An amount chargeable to income but paid from principal because income is not sufficient;2. The cost of an improvement to principal, whether a change to an existing asset or the construction of a new asset, including a special assessment;3. A disbursement made to prepare property for rental, including tenant allowances, leasehold improvements, and commissions;4. A periodic payment on an obligation secured by a principal asset, to the extent the amount transferred from income to principal for depreciation is less than the periodic payment; and5. A disbursement described in subsection A of § 64.2-1065.C. If an asset whose ownership gives rise to a principal disbursement becomes subject to a successive interest after an income interest ends, the fiduciary may continue to make transfers under subsection A.2022, c. 354.","path":["Title 64.2. Wills, Trusts, and Fiduciaries","Subtitle III. Trusts","Chapter 10.1. Uniform Fiduciary Income And Principal Act","Article 7. Allocation of Disbursements"],"source_url":"https://law.lis.virginia.gov/vacode/64.2-1068/","current_through":"9/4/2026","vintage":"","retrieved_at":"2026-09-04T15:18:14Z","sha256":"5039e4136b2a816dee1889cdb6e2998eb782a77ffeae21729bc62c9aba62bf9a","source_id":"us-va","stale":true,"prev":"us-va/va.-code-64.2-1067","next":"us-va/va.-code-64.2-1069"},"notice":"GroundRules: Original legal text. Not legal advice."}