それ (sore) and あれ (are) both mean that, so what’s the difference?
それ (sore) is to talk about things near the listener. (As opposed to これ (kore), which refers to things near the speaker.)
それは何ですか?
Sore wa nan desu ka?
What is that?
あれ (are) refers to something that isn’t near the speaker or the listener!
あれは何ですか?
Are wa nan desu ka?
What is that (over there)?