Thunder Corporation, an S corporation, has no corporate E&P from years as a C corp. At the end of the year, it distributes a basketball court to its 50 percent shareholder, Sam Prest, in a liquidating distribution. The fair market value of the court is $80,000, and its tax basis is $50,000. Mr. Prestis basis in his stock is $15,000.

G. How much gain (loss) does Mr. Presti recognize as a result of the distribution (there may be more than one gain/loss recognized or none)?

H. What is Mr. Prestis basis in his stock after the distribution?

I. What is Mr. Prestis basis in the basketball court?