As a general rule, distributions from a UTMA account are not taxable income to the beneficiary. However, you may be responsible for the taxes on the account's income, whether you withdraw the funds or not. The custodian of the account can give you an estimate of the income earned by the account. The tax rate will be based on your income and depend on the nature of the income (ordinary income or capital gain).
As for the restrictions, that 's a legal question that we're not authorized to answer. You may find the answer to your question by following this link. https://www.oppenheimerfunds.com/investors/article/ugma-utma-accounts