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Star Corp. aC corporation, is owned equally by Paul and his sister Pamela, each of whom hold 205 shares in the company. Pamela wants to

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Star Corp. aC corporation, is owned equally by Paul and his sister Pamela, each of whom hold 205 shares in the company. Pamela wants to reduce her ownership in the company, and it was decided that the company will redeem 103 of her shares for $2,060 per share on December 31, 2019. Pamela's income tax basis in each share is $900. Star Corp, has total E&P of $350,000. What are the tax consequences to Pamela as a result of the stock redemption? Multiple Choice O $212.180 dividend ond o tax basis in each of her remaining shares of 5103 $119,400 capital gain and a tax basis in each of her remaining shares of $900 $119.430 capital gain and a tax basis in each of her remaining shares of $205 5212.180 dividend and a tax basis in each of her remaining shares of $205

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