Eli Corp. is an accrual basis calendar year C Cor. With 100,000 shares of voting common stock issued and outstanding as of Dec. 28, Year 1. On Friday, Dec. 29, Year 1, Hall surrendered 2,000 shares or Eli stock to Eli in exchange for $33,000 cash. Hall had no direct interest in Eli after the stock surrender.

Additional Information:

Halls adjusted basis in 2,000 shares of Elm on 12/28/01 ($8 per share) $16,000

Elis accumulated E&P at 1/1/01 $25,000

Elis Year 1 net operating loss (7,000)

What amount of income did Hall recognize from the stock surrender?