55-277.2 - Definitions. - Virginia Statutes

§ 55-277.2. Definitions.

In this chapter:

"Accounting period" means a calendar year unless another twelve-monthperiod is selected by a fiduciary. The term includes a portion of a calendaryear or other twelve-month period that begins when an income interest beginsor ends when an income interest ends.

"Beneficiary" includes, in the case of a decedent's estate, an heir,legatee, and devisee and, in the case of a trust, an income beneficiary and aremainder beneficiary.

"Fiduciary" means a personal representative or a trustee. The term includesan executor, administrator, successor personal representative, specialadministrator, and a person performing substantially the same function.

"Income" means money or property that a fiduciary receives as currentreturn from a principal asset. The term includes a portion of receipts from asale, exchange, or liquidation of a principal asset, to the extent providedin Article 4 (§ 55-277.10 et seq.).

"Income beneficiary" means a person to whom net income of a trust is or maybe payable.

"Income interest" means the right of an income beneficiary to receive allor part of net income, whether the terms of the trust require it to bedistributed or authorize it to be distributed in the trustee's discretion.

"Mandatory income interest" means the right of an income beneficiary toreceive net income that the terms of the trust require the fiduciary todistribute.

"Net income" means the total receipts allocated to income during anaccounting period minus the disbursements made from income during the period,plus or minus transfers under this chapter to or from income during theperiod.

"Person" means an individual, corporation, business trust, estate, trust,partnership, limited liability company, association, or joint venture;government or governmental subdivision, agency, or instrumentality; publiccorporation; or any other legal or commercial entity.

"Principal" means property held in trust for distribution to a remainderbeneficiary when the trust terminates.

"Remainder beneficiary" means a person entitled to receive principal whenan income interest ends.

"Terms of a trust" means the manifestation of the intent of a settlor ordecedent with respect to the trust, expressed in a manner that admits of itsproof in a judicial proceeding, whether by written or spoken words or byconduct.

"Trustee" includes an original, additional, or successor trustee, whetheror not appointed or confirmed by a court.

(1999, c. 975.)