Today, the IRS issued proposed regulations for employee stock purchase plans under Section 423 of the Internal Revenue Code. The proposed regulations provide a comprehensive set of rules governing stock options issued under ESPPs.
By Stuart Harris and Jeni Lassell
For 2007 the IRS has waived the requirement that employers file an information return on the exercise of incentive stock options (ISO) or discounted options under a qualified Employee Stock Purchase Plan (ESPP). Employers must continue to provide certain written information to any person who has exercised an ISO, or who has received discounted stock during the year pursuant to an ESPP. Continue reading...
The requirement that employers file information returns with the IRS (in addition to providing information to employees, which is still required), with regard to incentive stock option exercises, and certain stock transfers pursuant to employee stock purchase plans, has been waived for 2007. Employers must continue to provide the information to employees, as before. Notice 2008-8, 2008-3 IRB.
Enter keywords:
Add this blog to your feeds or put your e-mail in the box below and hit GO to subscribe by e-mail.