Hey guys. This is technically a tax question but I thought investors might have more knowledge of how this specific situation works.
I have vested stock option grants in a private company (my employer). I'm considering a career move and therefore the option of exercising the options and holding the stock. Since it's currently private there is no way to liquidate the shares. Therefore I'm a little unclear on what I would be taxed on if I exercise. The company is doing very well financially and a buyout is extremely likely but I'm just less interested in sticking around for the 1-3 years it's likely going to take for that to happen (burnout setting in).
I've read a little bit about the 'bargain element' for how these might be taxed. Would that end up being something like the 409A company valuation per share minus my strike price?
Thanks for any insight you can provide.
Submitted August 30, 2017 at 08:50AM by barrelroll126 http://ift.tt/2whDQk3
