Raj Kothare funded an irrevocable simple trust in May of last year. The trust benefits Raj’s son for life and grandson upon the son’s death. One of the assets he transferred to the trust was Webbco stock, which had a $35,000 FMV on the transfer date. Raj’s basis in the stock was $39,000, and he paid no gift tax on the transfer. The stock’s value has dropped to $27,000, and the trustee thinks that now (October of the current year) might be the time to sell the stock and recognize the loss. For the current year, the trust will have $20,000 of income exclusive of any gain or loss. What tax and non-tax issues should the trustee consider concerning the possible sale of the stock?