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In the past several years, Shakira had loaned money to Shakira Inc. (an S corporation) to help the corporation keep afloat in a downturn. Her

In the past several years, Shakira had loaned money to Shakira Inc. (an S corporation) to help the corporation keep afloat in a downturn. Her stock basis in the S corporation is now $0, and she has deducted $45,750 in losses, reducing her debt basis from $152,500 to $106,750. Things appear to be turning around this year, and Shakira Inc. repaid Shakira $30,500 of the $152,500 outstanding loan. What is Shakiras income, if any, on the partial loan repayment?

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