6106 - Income accumulations; when valid. - Pennsylvania Statutes

§ 6106. Income accumulations; when valid. (a) General.--Except as set forth in section 6107.1 (relating to applicability of rule against perpetuities), no direction or authorization to accumulated income shall be void, except as herein provided. (b) Void accumulations; exceptions.--Except as set forth in section 6107.1, upon the expiration of the period allowed by the common law rule against perpetuities as measured by actual rather than possible events, any direction or authorization to accumulate income shall be void. This subsection shall not apply to: (1) Directions or authorizations to accumulate income in a trust for any charitable purpose or purposes. (2) Directions or authorizations to accumulate income in a bona fide trust inter vivos primarily for the benefit of business employees, their families or appointees, under a stock bonus, pension, disability or death benefit, profit- sharing or other employee-benefit plan. (c) Time for beginning period.--Except as set forth in section 6107.1, the period allowed by the common law rule against perpetuities under subsection (b) of this section shall be measured from the expiration of any time during which one person while living has the unrestricted power to transfer to himself the entire legal and beneficial interest in the property. (July 7, 2006, P.L.625, No.98, eff. imd.) Cross References. Section 6106 is referred to in section 6107.1 of this title.