On May 10 of the current year, Vanbrugh Corporation distributes to its shareholder Carol $22,000 in cash and land (a capital asset) having a $70,000 FMV. The land has a $20,000 adjusted basis for both taxable income and E&P purposes) and is subject to a $95,000 mortgage, which assumes. Vanbrugh has an E&P balance exceeding the amount distributed and is subject to a 21% corporate tax rate. Read the requirements Requirement a. What are the amount and character of the income Carol recognizes as a result of the distribution? Carol Amount of Character of distribution distribution - Requirements a. What are the amount and character of the income Carol recognizes as a result of the distribution? b. What is Carol's basis in the land? c. What are the amount and character of Vanbrugh's gain or loss as a result of the distribution? Print Done