Moe, Curly, and Lotty own 400 shares, 400 shares, and 200 shares, respectively, in Chocolate Corporation (E & P of $750,000). Curly is Moe's sister, and Lotty is Moe's aunt. Chocolate Corporation redeems all of Moe's stock for $420,000. Moe paid $200 a share for the stock five years ago. Moe continued to serve on Chocolate's board of directors after the redemption. Explain the tax consequences for Moe for this redemption including recognized gain/loss, character of that gain/loss, and the basis of his remaining Chocolate stock, if any. Show all calculations.