Alex owns 100% of X Corp. with a basis of 50,000. X owns a parcel of land with an adjusted basis of 70,000 and a fair market value of 100,000. X also has cash of 20,000. X liquidates, paying any tax it owes from the available cash and then distributing all remaining assets to Alex.

(a) what are all of the consequences to X? (maximum page typewritten)

(b) what are all of the consequences to Alex? (maximum page typewritten)

(c) Assume the same facts as above except that X does not have any cash and that X distributes the land to Alex and then dissolves. What special issue does this raise and what is the likely resolution of that issue? (maximum page typewritten)