SBT partnership distributes $5,000 cash and a parcel of land with a fair market value of $40,000

Question:

SBT partnership distributes $5,000 cash and a parcel of land with a fair market value of $40,000 and a $25,000 basis to the partnership to Sam (30% partner). What factors must Sam and SBT consider in determining the tax treatment of this distribution?

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