Martin Corporation adopts a plan of complete liquidation. Two months later Martin sells its main asset, a motel, in which it has a basis of $300,000, for

$800,000 to an unrelated partnership.

Martin received a $200,000 down payment and a mortgage note payable in installments of $10,000 a month for 5 years plus 6 percent interest on the remaining balance.

Martin Corporation uses its existing cash to pay the tax and distributes the $200,000 cash from the sale, and the note to its only shareholder, Laura, who has a basis of $30,000 for her stock. If there is no recapture, what are the tax consequences to Martin Corporation and to Laura?