[Anonymous]

How does a non-corporate shareholder treat the gain on a redemption of stock that qualifies as a partial liquidation of the distributing corporation?

a. Entirely as Capital Gain

b. Entirely as a Dividend

c. Partly as Capital Gain and Dividend

d. As a Tax-Free Transaction

[nolifecpa]

a) entirely as capital gain

shareholder treats partial liquidation distribution as a sale

corp that receives a distribution in redemption for partial liquidation of another corp treats the distribution as a dividend to the extent of E&P

REG-65,71,74,73,70,74,79
BEC-60's,60's,69,71,76*,78
FAR-67,66,65,79
AUD-54,60's,65,83*,69,80
*expired

DONE

[Author]

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