1. Which of the following is a correct statement regarding a redemption to pay death taxes under 303?

a.An estate recognizes gain on the redemption equal to the excess of the distribution proceeds over the decedent's basis in the stock.

b.A corporation recognizes gains and losses on the distribution of property in the redemption.

c.The value of the stock in the decedent's gross estate must exceed 40% of the value of the adjusted gross estate.

d.The 318 stock attribution rules do not apply to the redemption.

e.None of these choices are correct.