Emma and Peter formed a new corporation, TaxAvoidance, Inc. $($TA$)$ in $2021.$ Emma transferred some computers and office furniture worth $$5,000($her basis was $$3,000)$ and $$20,000$ cash, and Peter transferred an office building worth $$95,000($his basis was $$50,000).$ Emma received $25,000$ shares and Peter received $95,000$ shares in TA$.$

In $2023,$ TA distributed $$95,000$ to Peter and a $$25,000$ to Emma. At the time of the distributions, TA had $$30,000$ of current E&P$.$

What are the tax consequences of the transactions that occurred? Explain fully.