Estate of Doris F. Kahn, Deceased, LaSalle Bank, N.A., Trustee and Executor - Page 4

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          contained marketable securities with a net asset value (NAV) of             
          $1,401,347, and the Rothschild IRA contained marketable                     
          securities with a NAV of $1,219,063.  On the estate’s original              
          Form 706, the estate reduced the NAV of the Harris IRA by 21                
          percent to $1,102,842 to reflect the anticipated income tax                 
          liability from the distribution of its assets to the                        


               2(...continued)                                                        
                    Section 5.5H.  The Brokerage Firm named in the                    
               Application is designated by the Account Holder with                   
               authority to provide the Trustee with instructions, via                
               confirmations or otherwise, implementing his or her                    
               directions to the Brokerage Firm to purchase and sell                  
               securities for his or her account.                                     
          Thus, although the account holder cannot personally sell the                
          securities, he may do so through the brokerage firm and trustee.            
               The Harris IRA Agreement provides:                                     
                    5.6  Neither the Grantor nor any Beneficiary may                  
               borrow Trust property from the Trust or pledge it for                  
               security for a loan.  Margin accounts and transactions                 
               on margins are prohibited for the Trust.  No interest                  
               in the Trust shall be assignable by the voluntary or                   
               involuntary act of any person or by operation of law or                
               be liable in any way for any debts, marital or support                 
               obligations, judgments or other obligations of any                     
               person, except as otherwise provided by law.  No person                
               may engage in any transaction with respect to the Trust                
               which is a “prohibited transaction” within the meaning                 
               of Code Section 4975.                                                  
                    5.9 * * *the Trustee shall have the following                     
               powers * * * (d) to purchase, sell assign or exchange                  
               any Trust property and to grant and exercise options                   
               with respect to Trust property.                                        
          Here, again, although the IRA itself cannot be sold, the trustee            
          has the power to sell the underlying assets.                                





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Last modified: May 25, 2011