2000 Minnesota Code
Chapters 500 - 515B Property Interests and Liens
Chapter 501B Trusts
Section 501B.63 Income earned during administration of a decedent's estate.

501B.63 Income earned during administration of a decedent's estate.

Subdivision 1. Expenses. Unless a will provides otherwise and subject to subdivision 2, all expenses incurred in connection with the settlement of a decedent's estate, including debts, funeral expenses, estate taxes, interest and penalties concerning taxes, family allowances, fees of attorneys and personal representatives, and court costs must be charged against the principal of the estate.

Subd. 2. Income. Unless the will provides otherwise, income from the assets of a decedent's estate after the death of the testator and before distribution, including income from property used to discharge liabilities, must be determined in accordance with the rules applicable to a trustee and distributed as follows:

(1) to specific devisees, the income from the property devised to them respectively, less property taxes, ordinary repairs, interest, and other expenses of management and operation of the property, and less an appropriate portion of taxes imposed on income, excluding taxes on capital gains, that accrue during the period of administration;

(2) to all other devisees, except devisees of pecuniary devises not in trust, the balance of the income, less the balance of property taxes, ordinary repairs, interest, and other expenses of management and operation of all property from which the estate is entitled to income, and taxes imposed on income, excluding taxes on capital gains, that accrue during the period of administration, in proportion to their respective interests in the undistributed assets of the estate computed at times of distribution on the basis of inventory value.

Subd. 3. Income received by trustee. Income received by a trustee under subdivision 2 must be treated as income of the trust.

HIST: 1989 c 340 art 1 s 52