What is the amount and character of the march

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ABC Corp. had accumulated earnings and profits as of January 1, 2019 equal to $20,000. For the calendar year ending December 31, 2019 its current earnings and profits were equal to $15,000. On March 31, 2019, ABC Corp. distributed $30,000 to Smith its sole shareholder. On December 31, 2019, ABC Corp. distributed another $20,000 to Smith. Smith had purchased his ABC Corp. stock from Grey on September 15, 2009, paying $11,000 for his shares.

Question 1: What is the amount and character of the March 31, 2019 distribution received by Smith?

Reference no: EM132570134

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