CHAPTER 6. EXEMPTION OF EMPLOYEE BENEFIT TRUSTS FROM RULE AGAINST PERPETUITIES
IC 30-2-6
Chapter 6. Exemption of Employee Benefit Trusts From Rule
Against Perpetuities
IC 30-2-6-1
Contributions; self-employment retirement fund
Sec. 1. Either:
(1) a trust created by an employer as part of a stock bonus,
pension, disability, death benefit, or profit-sharing plan for the
benefit of some or all of his employees, to which contributions
are made by the employer or employees, or both, for the
purpose of distributing to the employees the earnings or
principal, or both earnings and principal, of the fund held in
trust; or
(2) a retirement fund or trust which at any time is tax exempt
under the provisions of the Internal Revenue Code and to which
contributions are made by self-employed persons or qualified
individuals for the purpose of providing pension or other
benefits for themselves or their beneficiaries;
may continue in perpetuity or for such time as may be necessary to
accomplish the purpose for which such trust is created and shall not
be invalid as violating any law against perpetuities or suspension of
the power of alienation of the title to property.
(Formerly: Acts 1949, c.184, s.1; Acts 1953, c.253, s.1.) As amended
by P.L.2-1987, SEC.45.
IC 30-2-6-2
Income; accumulation
Sec. 2. The income arising from any trust within the classification
mentioned in the preceding section may be permitted to accumulate
in accordance with the terms of such trust for as long a time as may
be necessary to accomplish the purposes for which the same was
created, notwithstanding any existing law or laws limiting the period
during which trust income may be accumulated.
(Formerly: Acts 1949, c.184, s.2.)
IC 30-2-6-3
Termination of trust; limitation of actions
Sec. 3. No rule of law against perpetuities or suspension of the
power of alienation of the title to property, or the accumulation of
income, shall operate to invalidate any trust created or attempted to
be created before September 10, 1949, by an employer as part of a
stock bonus, pension, disability, death benefit, or profit-sharing plan
for the benefit of some or all of his employees, to which
contributions are made by the employer or employees or both for the
earnings and principal of the fund held in trust, unless the trust is
terminated by a court of competent jurisdiction in a suit instituted
before September 11, 1950.
(Formerly: Acts 1949, c.184, s.3.) As amended by Acts 1982,
P.L.171, SEC.105.