accumulation accounts for minors a income


ACCUMULATION ACCOUNTS FOR MINORS
 
(a) Income accumulations:
When property is left in trust for minors, the income earned for the period will be divided equally or according to the terms of the will or trust deed. These shares of income will be credited to the accounts of the infant beneficiaries, usually called Income Accumulation Accounts.

(b) Maintenance payments:
Any amounts paid for maintenance (either by the terms of the will or trust deed or under S.33 of the Trustee Act will be debited to the respective Income Accumulations Accounts.

(c) Investment of accumulated income:
The income accumulations must be invested from time to time and the investments earmarked as being on Accumulations Account.

(d) Distribution to a beneficiary:
Before distribution to a beneficiary, the investments will be re-valued and the profits or losses divided between the beneficiaries.

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Financial Accounting: accumulation accounts for minors a income
Reference No:- TGS0178984

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