On July 25, 2019, Steven contributes land (FMV $160,000, basis of $195,000, and mortgage assumed of $85,000) and equipment (FMV $220,000, basis of $80,000) to XYZ Corp in a non-taxable 351 transfer. On September 29, 2019, XYZ Corp. adopts a plan of complete liquidation. Pursuant to the plan, XYZ Corp. distributes the land and equipment to Phillip, a 10% shareholder, unrelated to the other shareholders. At the time of distribution to Phillip, the land has a FMV of $100,000, mortgage assumed of $80,000, and the equipment has a FMV of $210,000 (presume no depreciation or cost recovery inside the corporation). Phillip acquired his stock in 2010 for $110,000. a. What are the tax consequences to XYZ Corp. as a result of the distribution of land and equipment to Phillip? b. What are the tax consequences to Phillip as a result of the complete liquidation? What is Phillip's basis in the assets received?