TITLE 53 WILLS, TRUSTS, AND ADMINISTRATION OF ESTATES

Section 12. (Revised Trust Code of 2010) Trusts, 53-12-1 through 53-12-506.

ARTICLE 17 GEORGIA PRINCIPAL AND INCOME ACT

53-12-400. When the right to income begins and ends.

1. An income beneficiary shall be entitled to net income from the date on which the income interest begins. An income interest shall begin on the date specified in the terms of the trust or, if no date is specified, on the date an asset becomes subject to a trust or successive income interest.
2. An asset shall become subject to a trust:
   1. On the date it is transferred to the trust in the case of an asset that is transferred to a trust during the transferor's life;
   2. On the date of a testator's death in the case of an asset that becomes subject to a trust by reason of a will, even if there is an intervening period of administration of the testator's estate; or
   3. On the date of an individual's death in the case of an asset that is transferred to a fiduciary by a third party because of such individual's death.
3. An asset shall become subject to a successive income interest on the day after the preceding income interest ends, as determined under subsection (d) of this Code section, even if there is an intervening period of administration to wind up the preceding income interest.
4. An income interest shall end on the day before an income beneficiary dies or another terminating event occurs, or on the last day of a period during which there is no beneficiary to whom a trustee may distribute income.

(Code 1981, §53-12-400, enacted by Ga. L. 2010, p. 579, § 1/SB 131.)