Jack, the sole shareholder of Rettig Corporation, sold his stock to Jill on July 1 of this year for $80,000. Jacks stock basis at the beginning of the year was $50,000. Rettig made a $20,000 cash distribution to Jack immediately before the sale, while Jill received a $40,000 cash distribution from Rettig on November 1. As of the beginning of the current year, Rettig had $12,000 in accumulated E & P, while current E & P (before distributions) was $15,000.

What is the character of Jacks distribution (amount of dividend, return of capital, capital gain)?

What is the character of Jills distribution (amount of dividend, return of capital, capital gain)?

What is Jacks recognized gain on the sale of his stock?