Question 6: (Bonus question +20 points max) Note: Please show detailed calculations and explanations. Answers without showing calculations/explanations, will not recelve credit. Elk Company reports a deficit in current E\&P of ($200,000) and positive accumulated E\&P of $300,000. Elk distributed $200,000 to its sole shareholder, Bamey Rubble, on December 31,203. Bamey's tax basis in his Elk stock is $75,000. What is the tax treatment of the distribution to Barney? (Hint: Dividend is tax normally, return of capital is not taxed, excessive return of capital is taxed as capital gain)