Which one of the following statements is false with regard to property distributions?

• A.
• Property distributions to shareholders are measured by their FMV on the distribution date adjusted for liabilities.
• B.
• The shareholder's basis in the property distributed is usually the FMV on the date of distribution.
• C.
• All stock distributions are treated as property distributions.
• D.
• The distributing corporation treats the property distributed as though sold to the shareholder at FMV or the amount of liabilities the shareholder assumes, whichever is greater.