Commentary on Sections Overview Overview
1411.This Chapter provides for expenses incurred by trustees to reduce the amount of income chargeable at the special trust rates.
1412.Beyond a few basic rules, it is left to trust law to determine what expenses may be taken into account. Generally, it is only expenses incurred in the course of exercising the trustees’ duties and powers and solely in managing the trust assets to produce or maintain an income flow which are allowable.
1413.The label “management expenses” has not been used. It does not carry any weight and omitting it avoids giving the impression that all expenses incurred in the course of managing a trust will necessarily be allowable.