55-9-11. Investments to jeopardize exempt purposes prohibited.
The trustee of a trust described in §55-9-7 shall not make any investments which would jeopardize the carrying out of any of the exempt purposes of the trust, within the meaning of section 4944 of the Internal Revenue Code, so as to give rise to any liability for the tax imposed by section 4944 (a) of the Internal Revenue Code.
Source: SL 1972, ch 259, §2 (4).
Structure South Dakota Codified Laws
Title 55 - Fiduciaries and Trusts
Chapter 09 - Charitable Trusts
Section 55-9-5 - Enforcement by attorney general as representative of beneficiaries--Exception.
Section 55-9-6 - Restrictions to avoid taxability of income--Definition of terms.
Section 55-9-8 - Self-dealing by trustee prohibited.
Section 55-9-9 - Distributions required to avoid taxes.
Section 55-9-10 - Retention of excess business holdings prohibited.
Section 55-9-11 - Investments to jeopardize exempt purposes prohibited.
Section 55-9-12 - Taxable expenditures prohibited.
Section 55-9-14 - State supervisory powers unimpaired by restrictions to avoid taxability of income.