Alabama Corporation, an S corporation, liquidates this year by distributing a parcel of land to its sole

Question:

Alabama an S liquidates this year by distributing a parcel of land to its sole shareholder Mark Ingram. The fair market value of the parcel is $50,000 and its tax basis is $30,000. Mark's basis in his stock is $25,000.
a. What amount of gain or loss, if any, does Alabama recognize on the How much gain must Mark recognize (if any) as a result of the and what is his basis in the land?
c. What is your answer to (a) if the fair market value of the land is $20,000 rather than $50,000?
d. What is your answer to (b) if the fair market value of the land is $20,000 rather than $50,000?
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...