Principal receipts.

The following items must be allocated to principal: 1. To the extent not allocated to income under this chapter , assets received from any of the following sources: a. A transferor during the transferor’s lifetime. b. A decedent’s estate. c. A trust with a terminating income interest. d. A payor pursuant to a contract naming the trust or its trustee as beneficiary. 2. Cash or other property received from the sale, exchange, liquidation, or change in form of a principal asset, including realized profit, subject to this subchapter . 3. Amounts recovered from third parties to reimburse the trust because of disbursements described in section 637.502, subsection 1 , paragraph “g” , or for other reasons to the extent not based on the loss of income. 4. Proceeds of property taken by eminent domain, but a separate award made for the loss of income with respect to an accounting period during which a current income beneficiary had a mandatory income interest is income. 5. Net income received in a period during which there is no beneficiary to whom a trustee may or must distribute income. 6. Other receipts, as provided in part 3. 99 Acts, ch 124, §12