On May 10 of the current year, Newport Corporation distributes to its shareholder Helen $22,000 in cash and land (a capital asset) having a $30,000 FMV. The land has a $26,000 adjusted basis (for both taxable income and E&P purposes) and is subject to a $55,000 mortgage, which Helen assumes. Newport has an E&P balance exceeding the amount distributed and is subject to a 21% corporate tax rate. Read the requirements Requirement a. What are the amount and character of the income Helen recognizes as a result of the distribution? Helen Amount of Character of distribution distribution