how does the tax treatment of partial liquidation differ from stock redemption ?

corporation distribution appreciated noncash property to shareholder as a divided what impact does the distribution have on the corporation earning and profits?

assume a calendar year corporation has difict negative current E&P of $100under this circumstance a cash distribution of $100 to the corporation sole sharholdeton June 30will not be treated as a divided because total E&P at December 31 is $0 true or false ? explain