Four years ago, Gene exchanged commercial real estate worth $1.5 million (basis of $300,000) and subject to a mortgage of $200,000, for land worth $1.15 million, subject to a mortgage of $150,000 and cash of $300,000. In the current year, Gene transfers the land that he received in the exchange to newly formed Bronze Corporation for all of its stock. Bronze Corporation assumes the original mortgage on the land, current face amount of $100,000, and a second mortgage, face amount of $20,000. Gene had placed the second mortgage on the land to secure the purchase of some equipment that he used in this business. What are the tax issues?