At the start of the current year, Blue Corporation (a calendar year taxpayer) has accumulated E & P of $265,000. Blue's current E & P is $159,000, and at the end of the year, it distributes $530,000 ($265,000 each) to its equal shareholders, Pam and Jon. Pam's stock basis is $37,100; Jon's stock basis is $148,400.

How is the distribution treated for tax purposes?

If an amount is zero, enter "0".

Pam has the following:

Dividend income: $

Capital gain: $

Stock basis after distribution: $

jon has the following:

Dividend income: $

Capital gain: $

Stock basis after distribution: $