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Anyone know how 83(b) elections (aka "early exercise") works with Californian tax? After the 83(b) election, if you fully vest all the early exercised shares i
by wholien 5y ago
Anyone know how 83(b) elections (aka "early exercise") works with Californian tax?
After the 83(b) election, if you fully vest all the early exercised shares in California, then move elsewhere for a year or more before selling, will California still tax the gains from that sale?
On the one hand, I'm vesting the exercised shares whilst in CA. On the other hand, I've early exercised, so there is no realized gains until I've sold. So if I leave CA, renounce all ties to CA as the article says, then sell, will CA come after me?
Is this analogous to buying a share of Google whilst a CA resident, then becoming a resident somewhere else and then selling that share of Google there? CA doesn't tax that... right?
- junar 5y agoThe answer is in FTB Pub 1004. It depends on whether you sell NSOs, ISOs in a qualifying disposition, or ISOs in a disqualifying disposition. https://www.ftb.ca.gov/forms/misc/1004.html https://www.ftb.ca.gov/forms/misc/1004.html