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Tony Corp. acquired land in a Section 351 tax-free exchange in 2013. At that time, the land had a basis of $290,000 and a fair market value of $350,000. Tony Corp. has two shareholders, Jan 55% and Alan 45%, who are unrelated to each other. In 2016, Tony Corp. adopts a plan of liquidation. During that year and pursuant to the liquidation, the corporation distributes the land (pro rata) to Jan and Alan when the value of the land is $270,000. What amount of gain or loss does Tony Corp. recognize on the distribution of the land?a)$60,000 gainb)$20,000 lossc)$9,000 lossd)No recognized gain or loss
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