During 2017,CDE Corporation (an S corporation since its inception in 2015)liquidates this year by distributing a parcel of land to its sole shareholder Clark.The fair market value of the land at the time of the distribution was $100,000 and CDE's tax basis in the property was $130,000.Before considering the effects of the distribution,Clark's basis in his CDE stock was $40,000.What amount of loss,if any,does CDE recognize on the distribution? What amount of income,if any,does Clark recognize on the distribution and what is his basis in the land?
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