a distribution lowers the individual overall capital in the corp, in that respect it is like a owner draw which reduces equity.
but a distribution may be all or partially taxable to the stockholder, depending on the amount paid vs the stockholder basis in the corp - that is unlike the equity draw
since a distribution may be tax free, and usually is, the IRS in known to monitor that to insure you are not shorting the feds of payroll taxes, SE taxes, etc etc. Working stock holders in the corp have to be on a salary, commensurate with the local market salaries for that position and responsibility.
