Ask HN: What should I do if I miss my 83(b)?

#1

Post by ryanbrwr » Wed, Apr 27, 2022, 4:20 PM UTC

I incorporated with clerky in September of 2021 but stopped working on the company until around a month ago. I now realized that I never filed my 83(b) election. I haven't vested yet, and haven't raised or made any money. Do I really have to hire a startup lawyer at $1000 / hr to mend this? Should I just dissolve the C Corp and make a new one?

Thanks!

Re: Ask HN: What should I do if I miss my 83(b)?

#2

Post by arrakis2021 » Wed, Apr 27, 2022, 4:24 PM UTC

Speak to your accountant Lawyers are sometimes reluctant to give tax advice

Re: Ask HN: What should I do if I miss my 83(b)?

#3

Post by ryanbrwr » Wed, Apr 27, 2022, 4:33 PM UTC

arrakis2021 wrote: post #2

Speak to your accountant Lawyers are sometimes reluctant to give tax advice

Unfortunately this is a startup lol, I don't have an accountant or a lawyer.

Re: Ask HN: What should I do if I miss my 83(b)?

#4

Post by arrakis2021 » Wed, Apr 27, 2022, 5:42 PM UTC

ryanbrwr wrote: post #3

arrakis2021 wrote: post #2

Speak to your accountant Lawyers are sometimes reluctant to give tax advice

Unfortunately this is a startup lol, I don't have an accountant or a lawyer.

I get what you mean but the cost of getting this wrong far exceeds the cost of an accountant’s advice on this. See if you have a CPA in your network you can talk to or even contract one for a couple hundred bucks

IANAL but I don’t think failure to report 83(b) this early is the end of the world. You can submit it now. The company had no income or revenue. The IRS has a lot of other fish to fry.