George owns all 100 shares of Gumby’s Pizza Corporation. The shares are worth $200,000, while George’s basis is only $70,000. Mary and George have reached a tentative agreement under which George will sell all his shares to Mary. However, Mary is unwilling to pay more than $150,000 for the stock because the corporation currently has an excess cash balance. They have agreed that George can withdraw $50,000 in cash from Gumby’s before the stock sale. What tax issues should be considered with respect to George and Mary’s agreement?