Section 61-503 - Transfers from income to principal for depreciation(a) In this section, "depreciation" means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a fixed asset having a useful life of more than 1 year.(b) A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation, but may not transfer any amount for depreciation: (1) Of that portion of real property used or available for use by a beneficiary as a residence or of tangible personal property held or made available for the personal use or enjoyment of a beneficiary;(2) During the administration of a decedent's estate; or(3) Under this section if the trustee is accounting under § 61-403 of this title for the business or activity in which the asset is used.(c) An amount transferred to principal need not be held as a separate fund. 77 Del. Laws, c. 99, § 1.;