"the difference between strike price and FMV is $0 and hence tax realized is also $0" well, this is assuming your company's value hasn't increased since then.

"the difference between strike price and FMV is $0 and hence tax realized is also $0" well, this is assuming your company's value hasn't increased since then. But I do agree it's usually an interesting move if you believe in the company since you'll pay taxes earlier.