Bill > HB608

This bill modifies the "Principal and Income Act" to resemble the latest version of the "Uniform Fiduciary Income and Principal Act" (UFIPIA). The bill comprehensively updates and replaces existing statutes related to how fiduciaries (such as trustees) should handle income and principal in trusts and estates. Key provisions include establishing new rules for allocating receipts and disbursements between income and principal, creating a framework for converting traditional income trusts to unitrusts (trusts where income is calculated as a percentage of the trust's total value), and providing guidelines for fiduciaries to make financial decisions that balance the interests of current and future beneficiaries. The bill introduces detailed definitions, specifies how different types of assets and income should be treated, and provides fiduciaries with more flexibility in managing trusts while maintaining standards of impartiality. Notable changes include more sophisticated methods for valuing trust assets, rules for handling various types of income (such as from businesses, real estate, or financial instruments), and provisions for tax considerations. The bill aims to provide clearer, more modern guidance for trust administration that reflects current financial practices and economic realities.

Business and Industry, Government Affairs

https://house.mo.gov/Bill.aspx?bill=HB608&year=2025&code=R