TRUSTEE ACT 1936 - SECT 33A
TRUSTEE ACT 1936 - SECT 33A
33A—Power to apply capital towards advancement and benefit
(1) Where under a
trust a person is entitled to the capital of the trust property or any share
thereof, the trustee may from time to time pay or apply any capital money
subject to the trust, not exceeding altogether in amount one half of the value
of the property or share for the advancement, maintenance, education, or
benefit of such person in such manner as the trustee shall in his absolute
discretion think fit.
(2) The power
conferred by this section may be exercised whether the person is entitled
absolutely or contingently on his attaining any specified age or on the
happening of any event, or whether his interest is subject to a gift over on
his death under any specified age or on the happening of any other event, and
notwithstanding that the interest of the person so entitled is liable to be
defeated by the exercise of a power of appointment or revocation, or to be
diminished by the increase of the class to which he belongs or whether the
person is entitled in possession or in remainder or reversion.
(3) If the person is
or becomes absolutely and indefeasibly entitled to a share in the trust
property, the money so paid or applied for his advancement, maintenance,
education or benefit shall be brought into account as part of such share.
(4) No such payment or
application shall be made so as to prejudice any person entitled to any prior
life or other interest, whether vested or contingent, in the money paid or
applied, unless such person is in existence and under no disability and
consents in writing to the payment or application.
(5) This section
applies only where the trust property consists of money or securities or
property held upon trust for sale calling in and conversion, and the money or
securities or the proceeds of the sale calling in and conversion are not by
statute or in equity considered as land.
(6) This section
applies only and if and as far as a contrary intention is not expressed in the
instrument, if any, creating the trust, and shall have effect subject to the
terms of that instrument and to the provisions therein contained.
(7) This section only
applies where the trust was created after the commencement of the Trustee Act
Amendment Act 1941 .