If a fiduciary makes or expects to make a principal disbursement described in subsection (2), the fiduciary may transfer an appropriate amount from income to principal in one or more accounting periods to reimburse principal or to provide a reserve for future principal disbursements.

To the extent that a fiduciary has not been and does not expect to be reimbursed by a third party, principal disbursements to which subsection (1) applies include:

1. (a)
   An amount chargeable to income but paid from principal because income is not sufficient;
2. (b)
   The cost of an improvement to principal, whether a change to an existing asset or the construction of a new asset, including a special assessment;
3. (c)
   A disbursement made to prepare property for rental, including tenant allowances, leasehold improvements, and commissions;
4. (d)
   A periodic payment on an obligation secured by a principal asset, to the extent the amount transferred from income to principal for depreciation is less than the periodic payment; and
5. (e)
   A disbursement described in s. 738.502(1).

If an asset whose ownership gives rise to a principal disbursement becomes subject to a successive interest after an income interest ends, the fiduciary may make transfers under subsection (1).