(760 ILCS 15/9) (from Ch. 30, par. 509)
Sec. 9.
Business and farming operations.
(a) If a trustee uses any part of the principal in the operation of a
business or, except as provided in subsection (b), an agricultural or
farming operation, including the raising of animals or the operation of a
nursery, the net profits and losses shall be computed in accordance with
generally accepted accounting principles, subject to paragraph (8) of
subsection (c) of Section 14. Net profits are income; and if a loss
results in any fiscal or calendar year, the loss shall be carried into
subsequent fiscal or calendar years for purposes of computing income of
the business.
(b) When, as a part of the principal of an agricultural or farming
operation, animals are held partly or wholly because of the offspring or
increase which they are expected to produce, all offspring or increase
shall be deemed principal to the extent necessary to maintain the original
number of such animals and the remainder shall be deemed income, and in all
other cases such offspring or increase shall be deemed income.
(Source: P.A. 87-714.)
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