You are asked to do some research to help out a brother and sister, Jane and Austin Smith with a tax problem. In May of 2018, Jane and Austin Smith exchange land they both held separately for investment. Jane gives up a 2 acre parcel in Texas with an adjusted basis of $2,000 and a fair market value of $6,000. In return for this property, Jane receives from Austin a 1 acre parcel in Arkansas with a fair market value of $5,500 and cash of $500. Austin's adjusted basis in the land he exchanges is $2,500. In March 2019, Austin sells the Texas land he received form his sister Jane to a third party for $5,800. Please determine the each parties gain recognition-both Jane and Austin. Then determine what are the consequences on the sale Austin made in 2019 (Hint-there are consequences to both Lisa and Austin!). Please use IRS publication 544 for your reference!