Instructions: Due Tuesday 09/29
At least 3 paragraphs long with 3 peer-reviewed references.
Tammy and Barry formed Pheasant Corporation several years ago in a transaction that qualified under § 351. Both shareholders serve as officers and on the board of directors of Pheasant. In the current year, Pheasant Corporation redeemed all of Barry’s shares in the corporation with a property distribution. What are the tax issues for Barry and Pheasant? What makes a transaction a corporate liquidation?