ASSUME ALL CORPORATIONS ARE C CORPORATIONS In year 3, the Corporation liquidates their operations and the following information is provided: Accumulated E and P 150,000 Fair Market value of Building $550,000 Basis of Stock: Jill $500,000, John 500,000, Paul 27,500 The distribution is As follows: Jill receives $525,000, Paul receives $50,000 and John receives the building in a total liquidation process. 1. What are the tax ramifications to J and J Corporation? 2. what are the tax ramifications to Jill, John and Paul.