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Additions & Updates at myStockOptions.com: 4th Quarter 2014

4th QUARTER 2014

NEW APP! Stock Compensation Glossary, our free app for iPhone and iPad, is available at The App Store and iTunes.


ARTICLES, FAQs, & VIDEOS
Our core content sections, organized by topic

PODCASTS
Lively, brief audio recordings on important topics in equity compensation

GLOBAL TAX GUIDE
Important recent updates in Australia, The Philippines, Spain, and others

GLOSSARY
Recent additions include adjusted cost basis, garden leave, Equity Plan Scorecard (EPSC), and many more

ASK THE EXPERTS
Selected questions from Premium Members of myStockOptions.com

NONQUALIFIED DEFERRED COMPENSATION
The latest major updates and additions at our sister website myNQDC.com.


The myStockOptions.com Blog is one of the best ways to keep up with new developments in equity compensation and with the frequently updated content of myStockOptions.com. You can also follow us on Twitter.

ARTICLES, FAQs, AND VIDEOS

Tax Center UPDATED FOR TAX-RETURN SEASON 2015!

GENERAL TAX-RETURN TOPICS

VIDEO! Tax-Return Forms & Reporting Rules For Stock Sales

Restricted Stock & RSUs: What You Must Know To Avoid Tax-Return Mistakes

Avoid Tax-Return Mistakes With Stock Options & ESPPs: What You Need To Know

How To Report Sales Of Company Stock On Your Tax Return

NQSOs: Tax-Return Tips And Traps

ISOs: Tax-Return Tips And Traps

How To Avoid Paying Too Much Tax: Understanding The Revised Form 1099-B & Form 8949 For Reporting Stock Sales On Your Tax Return

What's new for tax-return season?

What are the big changes in 2015 with reporting stock sales on my tax return? Why have these changes occurred?

What tax statement will I receive from my broker after a sale of company stock I acquired by stock option exercise, restricted stock vesting, or ESPP purchase?

What is the cost basis for calculating gains on Form 8949 and Schedule D of my tax return after I sell stock acquired from stock options, restricted stock/RSUs, performance shares, or ESPPs?

In the cost basis I use to report sales of company stock on my tax return, what part comprises the W-2 income from stock compensation or an ESPP?

How have IRS Form 1099-B and cost-basis reporting changed for sales of stock acquired from my stock options, restricted stock, or ESPP? What do I need to do differently because of the changes?

What if the wrong cost basis is reported on my 1099-B? How do I report the right cost basis on Form 8949 of my tax return?

What are the biggest mistakes with restricted stock or RSUs that I can make on my tax return, and how can I avoid them?

What are the biggest mistakes related to my employee stock purchase plan that I can make on my tax return, and how can I avoid them?

What are the biggest mistakes related to stock options I can make on my tax return, and how can I avoid them?

What are the biggest mistakes related to stock appreciation rights (SARs) that I can make on my tax return, and how can I avoid them?

How can I file the paper version of my 83(b) election with my online tax return? What if I forget to file it with my tax return?

ANNOTATED DIAGRAMS OF FORM W-2

What will my W-2 show after the vesting of restricted stock units?

What will my W-2 show after the vesting of restricted stock?

What will my W-2 show after the vesting of performance shares?

What will my W-2 show after I exercise nonqualified stock options?

How is an NQSO stock-swap exercise reported on my W-2?

If I sell ESPP shares after the required holding periods, what will appear on my W-2?

If I make a disqualifying disposition with my ESPP stock, what will appear on my W-2?

My company's employee stock purchase plan is not tax-qualified under Section 423 of the Internal Revenue Code. What will my W-2 show after an ESPP purchase?

What will my W-2 show after I exercise incentive stock options?

What will my W-2 show after I exercise stock appreciation rights?

ANNOTATED DIAGRAMS OF FORM 8949 AND SCHEDULE D

How do I report a sale of restricted stock on my federal income-tax return?

How do I report a sale of shares from restricted stock units (RSUs) on my federal income-tax return?

Do I need to report on my tax return the restricted stock I sold or surrendered to my company for the tax withholding?

When I hold restricted stock after it vests and later have capital gains on the sale, will I get any "credit" for the income tax I paid at vesting?

When restricted stock units vest, my company automatically sells or withholds shares to cover the taxes. Do I need to report these shares on my Form 8949 and Schedule D?

How do I report a sale of performance shares or PSUs on my federal income-tax return?

How do I report sales of shares from stock appreciation rights on my federal income-tax return?

If I make a disqualifying disposition with my ESPP stock, how do I report the sale on Form 8949 and Schedule D of my tax return?

If I sell ESPP shares after the required holding periods, how do I report the sale on my Form 8949 and Schedule D?

My company's ESPP is not tax-qualified under Section 423 of the Internal Revenue Code. How do I report any gain that results from the sale of my ESPP shares on my federal income-tax return?

How do I report a sale of NQSO shares on my federal income-tax return?

How are capital gains taxed when I sell my NQSO shares?

I did a cashless exercise with my nonqualified stock options last year. Since I have no additional gains or losses from the sale, do I still need to report the transaction on Form 8949 and Schedule D of my tax return?

How do I report a sale of shares in an NQSO sell-to-cover exercise?

I exercised NQSOs, held the stock, and now have long-term capital gains on the sale. Do I get any "credit" on my tax return for the income tax I paid for the spread at exercise?

I did cashless exercises/sales of stock options from several grants simultaneously. Do I need to report each sale separately, or can I attach the 1099-B statement from my broker and aggregate them on one line?

Is the brokerage commission taxed?

I did a cashless exercise with my incentive stock options. How do I report this on Form 8949 and Schedule D? What about the alternative minimum tax?

How do I report a sale of shares in an ISO sell-to-cover exercise?

I exercised my ISOs and sold the ISO stock later in the same year. How is this reported on my tax return when the stock price at sale was higher or lower than at exercise?

After I have met the ISO holding periods, how do I report a sale on my tax return?

How am I taxed if I have made a disqualifying disposition (e.g. sale) of ISO shares in a different year than the year I exercised the option? How do I report this?

When I sell my ISO shares in a disqualifying disposition, will the broker's commission reduce the amount of ordinary income on my W-2 or the amount of gross sales proceeds on my Form 8949 and Schedule D?

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Financial Planning

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If my company requires me to have a foreign bank or brokerage account because of the stock plan, what do I need to know about the FBAR and FATCA reporting rules?

Will my company be able to take a tax deduction for the value of my restricted stock, restricted stock units, performance shares, or stock options if my compensation already exceeds $1 million?

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Basics

NEW! What are the top 10 questions I should ask about my stock grants?

Why do companies grant stock options, restricted stock, and other equity awards? Do employees really value them?

What do surveys and examples reveal about the effects of expensing, stock market trends, and other developments on equity compensation?

How have the stock-market volatility and economic fluctuations of recent years changed corporate stock grant practices?

What is a wash sale?

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Restricted Stock, RSUs, & Performance Shares

NEW VIDEO! Restricted Stock & RSUs (Part 2): Taxes And Related Key Decisions

NEW! What are the top 10 questions I should ask about my stock grants?

Do I get dividends with restricted stock units? How are they taxed?

What types of company goals are most commonly set for performance shares and units? What do surveys show about the performance metrics and periods that companies use?

How soon after the end of the performance period do I receive the shares?

How soon after my restricted stock vests must the IRS receive my withholding taxes?

How can I file the paper version of my 83(b) election with my online tax return? What if I forget to file it with my tax return?

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Employee Stock Purchase Plans (ESPPs)

NEW VIDEO! Employee Stock Purchase Plans (ESPPs): Key Rules & Decisions

NEW VIDEO! Employee Stock Purchase Plans (ESPPs): Taxes

ANNOTATED DIAGRAMS! IRS Form 3922 For ESPPs: What You Need To Know, And How It Can Help You Understand ESPP Taxation

ANNOTATED DIAGRAMS! What do I need to know about the information on IRS Form 3922 for ESPPs?

How many employees generally participate in ESPPs?

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NQSOs

What are the top 10 questions I should ask about my stock options?

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ISOs & AMT

ANNOTATED DIAGRAMS! IRS Form 3921 For Incentive Stock Options: What You Need To Know, And How It Can Help You Understand ISO Taxation

ANNOTATED DIAGRAMS! What do I need to know about the information on IRS Form 3921 for incentive stock options?

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Stock Appreciation Rights (SARs)

What do surveys and examples reveal about the effects of expensing, stock market trends, and other developments on equity compensation?

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Job Events

Watch For Noncompetes And Other Restrictive Covenants In Stock Grant Agreements

Your Stock Grants May Come With Strings Attached

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Life Events

Funding Your Child's College Education With Stock Options And Other Stock Grants (Part 3)

Strategic Planning With Roth IRAs And Stock Compensation (Part 1)

Retirement Planning With Stock Options, Restricted Stock, And Other Stock Compensation (Part 1: Pre-Retirement Planning)

How do stock grants affect Roth IRA contributions and conversions?

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SEC Law & Rule 10b5-1 Trading Plans

What is insider tipping?

What are Forms 3, 4, and 5? When are they filed with the SEC?

When I sell stock under a Rule 10b5-1 plan, do I report the sale differently on Form 4?

What is the penalty for the failure to file Form 3, 4, or 5? What if the filing is merely late?

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M&A

NEW! Test your knowledge with our M&A quiz!

A private equity firm is buying my company. What will happen to my stock options and restricted stock?

What will happen to my unvested stock grants if my company is acquired or if it merges with another company?

What would happen to my performance shares in an acquisition of my company?

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Pre-IPO

NEW! Test your knowledge with our quiz on pre-IPO topics!

How do privately held companies create liquidity for employees' options and stock, other than going public or getting acquired?

How do pre-IPO and other private companies determine exercise prices?

Any survey data on stock grants in privately held companies?

Why would a privately held company grant RSUs and not stock options?

Can consultants or independent contractors be granted stock options or company stock? How common is this practice?

If I exercise my vested options during a lockup period, does the date for calculating the spread occur at exercise or at the end of the lockup, when I can sell the stock?

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PODCASTS

NEW:

Taking An Overseas Assignment: Stock Compensation For Internationally Mobile Employees

How To Maximize The Value Of Stock Compensation While Minimizing Risk

How Pre-IPO Stock Compensation May Change Upon The Company's IPO

A Holistic Approach To Equity Compensation, And Special Dilemmas Faced By Executives

Hedging Employee Stock Options And Company Stock

Why Restricted Stock And RSUs Are A Good Deal

Financial Planning For Stock Compensation

College Funding With Stock Compensation

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GLOBAL TAX GUIDE This is premium content

UPDATED OR EXPANDED:

Australia
Chile
Colombia
The Philippines
Russia
Spain

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GLOSSARY

NEW:

Adjusted Cost Basis
Amount Credited
AMT Income Exemption Amount
Anti-Pledging Policy
Beneficial Ownership Report
Covered Employees
CUSIP Number
Dividend Reinvestment Plan
Equity Plan Scorecard (EPSC)
Excise Tax Gross-Up
Flat Rate
Form 941
Form 945
FUTA
Garden Leave
Item 405
Multi-State Tax Withholding
Next-Day-Deposit Rule
One-Day-Deposit Rule
Original Cost Basis
Payout Cap
Pay-Ratio Disclosure
Performance-Based Exemption
Regulation S-K
Regulation S-X
Section 280G
Section 421
Section 451
Sell-To-Cover Withholding
Single Trigger
Summary Compensation Table (SCT)
Tax Lot
Variable Pay

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ASK THE EXPERTS

NEW:

I think that my company will soon be acquired by a much bigger company. If a deal is announced, am I likely to receive some type of retention grant?

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NONQUALIFIED DEFERRED COMPENSATION

A sample of the latest major additions at our separate website myNQDC.com, a comprehensive publication about nonqualified deferred compensation:

What Participants Need To Know About Section 409A (Parts 1 and 2)

Will my FICA taxes be refunded to me if my company never pays out my nonqualified deferred compensation?

What impact does disability have on distributions under my nonqualified deferred compensation plan?

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CONTACT & LICENSING INFORMATION

TO CONTACT THE EDITORS: editors@mystockoptions.com

TO LICENSE OUR CONTENT: sales@mystockoptions.com

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