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Stony Brook Company redeemed 9898 of its shares for $5,390 during the current taxation year. These shares were owned by Abbotsford who had purchased them
Stony Brook Company redeemed 9898 of its shares for $5,390 during the current taxation year. These shares were owned by Abbotsford who had purchased them from Harbour for $3,200. Harbour had purchased these shares directly from Stony Brook Company for $1,040, an amount that represents the PUC of the shares. What are the income tax consequences of the redemption
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