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If you were given stock you'd be taxed on the whole value immediately, because you are getting something of value whether or not it's liquid. Getting compensat
by roguecoder 8y ago
If you were given stock you'd be taxed on the whole value immediately, because you are getting something of value whether or not it's liquid. Getting compensation tax-free at time of receipt, as options do, is already a pretty great tax deal.
- erichurkman 8y agoTax free at receipt is great. It should be tax free at exercise, too, and only taxed when the shares are sold. It's asinine to get taxed on something you cannot realize any actual gain from.