Section 11-A-5.6. Adjustments between principal and income because of taxes

A  fiduciary  may  make  adjustments  between  principal and income to
  offset the shifting of economic interests or tax benefits between income
  beneficiaries and remainder beneficiaries which arise from:
    (1) elections and decisions that the fiduciary makes from time to time
  regarding tax matters;
    (2) an income tax or any other tax that is imposed upon the  fiduciary
  or   a  beneficiary  as  a  result  of  a  transaction  involving  or  a
  distribution from the estate or trust; or
    (3) the ownership by an estate or trust of an interest  in  an  entity
  whose  taxable  income, whether or not distributed, is includable in the
  taxable income of the estate, trust, or a beneficiary.