101–110 of 388 posts
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I doubt that it's that simple. For tax rules, it's likely more about the notion of when the employee has the effective right to it. If the employee has the right to it, via being able to write a letter requesting it, then it's already vested from the perspective of the IRS, regardless of what word games you play.
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Isn't this a change that makes the tax code fairer? It seems like options and RSUs have value associated with them. At the very least, the person who is receiving them considers them to have value. Stock options are traded on markets, and priced some how. Part of the new tax plan seems to be trying to lower the tax brackets, in exchange for preventing people from avoiding taxes. That's why it seems to be doing things…
Options and RSUs gain value the day you pay for the underlying stocks, not the day you're allowed to buy a stock which could later in time become worthless. don't forget they're aimed at employees so they can share the value created by the company they work within, and that these employees will pay taxes in time when they extract any value from their companies
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The entire tax bill seems to be sticking it to Democrat states, in particular New York and California, but it is really about urban vs. rural politics. Democrats have become too concentrated as a party in urban areas and so rural voters have gotten enough political power to attempt to address what they view as economic inequities in the current urban/rural income distribution. Republican have also flipped the script…
it aint the poorer rural middle class that's going to benefit here
Good. This entire industry is a lottery. We all laughed at the slot machines in the hospital in the movie "Idiocracy". "You could win free health-care!" And yet we're all hoping to win a life of luxury on the start-up lottery.
Earlier quoted context omitted.
I doubt that it's that simple. For tax rules, it's likely more about the notion of when the employee has the effective right to it. If the employee has the right to it, via being able to write a letter requesting it, then it's already vested from the perspective of the IRS, regardless of what word games you play.
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Earlier quoted context omitted.
I doubt that it's that simple. For tax rules, it's likely more about the notion of when the employee has the effective right to it. If the employee has the right to it, via being able to write a letter requesting it, then it's already vested from the perspective of the IRS, regardless of what word games you play.
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It's like if a company receives a bill for something they bought in 2016, but don't technically pay it until 2017, the bill would still show up in their 2016 reports.
Here's the statement I plan to read to my representatives: I live in Greenpoint, Brooklyn. I work for a small startup of less than 30 employees. Three years ago I left a large, publicly traded tech company to take this job, because of the potential I saw in the work the startup was doing. I took a significant pay cut when I joined the startup, a decision that was justifiable only because of the distant future value o…
It may be an interesting exercise to think of how this can be turned "against" you. If you wanted to play armchair politics, you could spin this: - Highly paid engineer walked away from a 6 figure salary - Takes a job at a small company where he gets equity that could potentially be worth millions. - Complains that he may have to pay taxes on a significant portion of his compensation. Put those together, and you have…
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Can I give back my options if this bill passes? I'm literally sick now reading this. What I thought was a great part of my compensation package is literally going to bankrupt my family.
Yes you can just give them back, but I would be shocked if the bill passed this way. This clause wasn’t in the House version of the bill. Call your senator.
The importance of this change can’t be understated; this effectively kills compensation at startups in the form of equity, and would make startups completely unable to compete with incumbents. Anyone that has options at a company that grows quickly would be paying tens or hundreds of thousands in taxes to keep their equity, which is still effectively a very risky bet that a company will end up huge. No one would want…
Can I give back my options if this bill passes? I'm literally sick now reading this. What I thought was a great part of my compensation package is literally going to bankrupt my family.
"But, sadly, I don’t think this is really about what makes sense. It is about politics." Clearly this proposal is targeted directly at private SV and tech companies. And the mortgage deduction and state tax write off proposals are targeted at California / NY. Outside of just a big FU from the Republicans to largely Democratic states what is the end game? E.g. - what are the Republicans actually negotiating for, assum…
State tax write offs are fundamentally unfair. The US government effectively subsidized high tax states. A guy making $100k in Texas ought to have the same exact tax federal burden of a guy making $100k in New Jersey. As it stands now, those two guys pay a different amount to the federal government. That is unfair. A state can raise state taxes will little impact on residents however it results in lower tax revenue t…