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Polar corp. has always been an s corporation shareholder. On December 31, Polar made a nonliquidating distribution of $10000 cash to Walter, its sole shareholder.
Polar corp. has always been an s corporation shareholder. On December 31, Polar made a nonliquidating distribution of $10000 cash to Walter, its sole shareholder. What amount and character of gain (loss) must Walter recognize on the distribution of his basis in the Polar stock is $12000? How does your answer change if Walter's basis is instead $6000
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