Michigan § 555.903 - Depreciation; amount transferred to principal.
Full text of Michigan Michigan Compiled Laws § 555.903 — Depreciation; amount transferred to principal., with citation guidance and answers to common questions.
§ 555.903. Depreciation; amount transferred to principal.
As used in this section, “depreciation” means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than 1 year.
A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but may not transfer an amount for depreciation as follows:
An amount for that portion of real property used or available for use by a beneficiary as a residence or an amount for tangible personal property held or made available for the personal use or enjoyment of a beneficiary.
An amount during the administration of a decedent's estate.
An amount under this section, if the trustee is accounting under section 403 for the business or other activity in which the asset is used.
An amount transferred to principal need not be held as a separate fund.
Source: official Michigan text · Last verified 2026-08-27
Frequently Asked Questions About Michigan § 555.903
What does Michigan Compiled Laws § 555.903 cover?
Section 555.903 ("Depreciation; amount transferred to principal.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Michigan § 555.903?
A common citation format is "Michigan Compiled Laws § 555.903" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Michigan law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.
How does Michigan § 555.903 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.