C.R.S. § 15-1.2-503

(1) In this section, “depreciation” means a reduction in value due to wear, tear, decay, corrosion, or gradual obsolescence of a tangible asset having a useful life of more than one year. (2) A fiduciary 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: (a) Of the part of real property used or available for use by a beneficiary as a residence; (b) Of tangible personal property held or made available for the personal use or enjoyment of a beneficiary; or (c) Under this section, to the extent the fiduciary accounts: (I) Under section 15-1.2-410 for the asset; or (II) Under section 15-1.2-403 for the business or other activity in which the asset is used. (3) An amount transferred to principal under this section need not be separately held.