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ID H0416
Bill
Status
3/18/2020
Primary Sponsor
Business Committee
Click for details
AI Summary
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Authorizes banks without trust powers to act as custodians or fiduciaries and receive reasonable compensation for such services
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Permits custodial accounts under written trust instruments created in the United States that qualify for tax-advantaged treatment under Internal Revenue Code sections 401(d), 403(b), or 408(a)
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Restricts investment of custodial account funds to savings accounts, deposits, or securities issued by the bank acting as custodian
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Requires custodians to maintain individual records for each participant showing all transactions in proper detail
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Allows commingling of funds held in custodial or fiduciary capacity for appropriate investment purposes
Legislative Description
Amends existing law to revise provisions regarding a bank acting as a custodian or fiduciary.
BANKS
Last Action
Reported Signed by Governor on March 18, 2020 Session Law Chapter 181 Effective: 07/01/2020
3/18/2020