Contributions; Distributions; Redemptions. (A) Each Beneficial Owner agrees that it (or its agent) will contribute property to the Trust only if such property has, to the best of that Beneficial Owner’s knowledge after reasonable inquiry, a basis for tax purposes equal to the fair market value of such property, and acknowledges that the Trust will rely upon such fair market value basis for purposes of determining and allocating items of income, gain, loss, deduction, basis and other tax items. For this purpose, Section 7 shall apply to determine fair market value. (B) In determining which CERFs and Short-Term Securities, if any, are to be distributed to a Beneficial Owner or its agent or sold or closed out in connection with a redemption pursuant to the provisions of this Agreement, the Administrative Trustee shall adopt a standard procedure for selecting such CERFs or Short-Term Securities that is applied consistently to all redemptions. Unless the Administrative Trustee determines that another lot selection method more accurately allocates taxable gain and loss to Beneficial Owners in a manner that corresponds to their economic gain and loss, the procedure shall be “first in, first out,” “last in, last out,” or a combination thereof.
Appears in 6 contracts
Samples: Trust Agreement (iShares S&P GSCI Commodity-Indexed Investing Pool LLC), Trust Agreement (iShares GS Commodity Natural Gas Indexed Trust), Trust Agreement (iShares GS Commodity Non Energy Indexed Trust)
Contributions; Distributions; Redemptions. (A) Each Beneficial Owner agrees that it (or its agent) will contribute property to the Trust only if such property has, to the best of that Beneficial Owner’s 's knowledge after reasonable inquiry, a basis for tax purposes equal to the fair market value of such property, and acknowledges that the Trust will rely upon such fair market value basis for purposes of determining and allocating items of income, gain, loss, deduction, basis and other tax items. For this purpose, Section 7 shall apply to determine fair market value.
(B) In determining which CERFs Index Futures and Short-Term Securities, if any, are to be distributed to a Beneficial Owner or its agent or sold or closed out in connection with a redemption pursuant to the provisions of this Agreement, the Administrative Trustee shall adopt a standard procedure for selecting such CERFs Index Futures or Short-Term Securities that is applied consistently to all redemptions. Unless the Administrative Trustee determines that another lot selection method more accurately allocates taxable gain and loss to Beneficial Owners in a manner that corresponds to their economic gain and loss, the procedure shall be “"first in, first out,” “last in, last out,” or a combination thereof."
Appears in 3 contracts
Samples: Trust Agreement (iShares S&P GSCI Commodity-Indexed Trust), Trust Agreement (iShares S&P GSCI Commodity-Indexed Trust), Trust Agreement (iShares S&P GSCI Commodity-Indexed Investing Pool LLC)
Contributions; Distributions; Redemptions. (A) Each Beneficial Owner agrees that it (or its agent) will contribute property to the Trust only if such property has, to the best of that Beneficial Owner’s knowledge after reasonable inquiry, a basis for tax purposes equal to the fair market value of such property, and acknowledges that the Trust will rely upon such fair market value basis for purposes of determining and allocating items of income, gain, loss, deduction, basis and other tax items. For this purpose, Section 7 shall apply to determine fair market value.
(B) In determining which CERFs Index Futures and Short-Term Securities, if any, are to be distributed to a Beneficial Owner or its agent or sold or closed out in connection with a redemption pursuant to the provisions of this Agreement, the Administrative Trustee shall adopt a standard procedure for selecting such CERFs Index Futures or Short-Term Securities that is applied consistently to all redemptions. Unless the Administrative Trustee determines that another lot selection method more accurately allocates taxable gain and loss to Beneficial Owners in a manner that corresponds to their economic gain and loss, the procedure shall be “first in, first out,” “last in, last out,” or a combination thereof.”
Appears in 2 contracts
Samples: Trust Agreement (iShares Dow Jones-Ubs Roll Select Commodity Index Trust), Trust Agreement (iShares Dow Jones-Ubs Roll Select Commodity Index Trust)
Contributions; Distributions; Redemptions. (A) Each Beneficial Owner agrees that it (or its agent) will contribute property to the Trust only if such property has, to the best of that Beneficial Owner’s knowledge after reasonable inquiry, a basis for tax purposes equal to the fair market value of such property, and acknowledges that the Trust will rely upon such fair market value basis for purposes of determining and allocating items of income, gain, loss, deduction, basis and other tax items. For this purpose, Section 7 shall apply to determine fair market value.
(B) In determining which CERFs Index Futures and Short-Term Securities, if any, are to be distributed to a Beneficial Owner or its agent or sold or closed out in connection with a redemption pursuant to the provisions of this Agreement, the Administrative Trustee shall adopt a standard procedure for selecting such CERFs Index Futures or Short-Term Securities that is applied consistently to all redemptions. Unless the Administrative Trustee determines that another lot selection method more accurately allocates taxable gain and loss to Beneficial Owners in a manner that corresponds to their economic gain and loss, the procedure shall be 50% “first in, first out,” 50% “last in, last first out,” or with any remaining Index Futures and Short-Term Securities, to the extent not evenly divisible on a combination thereof50/50 basis, determined on a “first in, first out” basis.
Appears in 1 contract
Samples: Trust Agreement (iShares S&P GSCI Commodity-Indexed Investing Pool LLC)