Your contribution does not roll over into the buyer's ESPP, and rarely is the target's offering period continued after the deal is closed...
It must not be on file with the transfer agent that is handling the share transfer for stock option exercises, restricted stock/RSU vesting, or sales of company shares. To avoid federal withholding at the 28% rate...
Possibly. Read your grant agreement and the stock plan documents carefully...
A change of control is commonly considered a merger and/or acquisition, but it can be...
Provisions vary according to the terms of your grant and stock plan. Trends and data show that...
Typically, stock option vesting is accelerated in some way in a change of control. Depending on your stock plan...
First check whether your options will be converted to options in the buyer...
The vesting of the grant will probably accelerate according to specifics in your stock plan or grant agreement. The grants will probably be cashed out. Depending on your level in the company and the length of your employment, you may receive a meaningful grant in your newly private company that will require you to...
During the early stages of a company's existence (e.g. up to the first round of venture financing) you may be able to get...
This depends on the provisions in your stock plan and the structure of the merger or acquisition. According to the flexibility for adjusting outstanding grants that your company's stock plan provides, the buyer can...
For a change in control (e.g. a merger or acquisition), the performance period for measuring whether goal(s) are reached is cut short. Commonly, performance share plans...
When the consideration paid in the acquisition or merger is a combination of stock and cash, the treatment of outstanding equity grants varies more than it does in all-stock or all-cash transactions. In a business combination, most stock plans require...
Options typically convert according to the negotiated values of the target's and the acquirer's stock at the time of acquisition...
Check your stock plan to see whether it addresses this type of divestiture (or spinoff), in which just a small division or subsidiary is sold. Many plans...
The legality of exercising stock options, swapping the stock for the buyer's shares, and then immediately...
While they are being sold, many companies make retention grants of additional options, restricted stock, or other compensation. In other cases...
Check your company's plan for any specific provisions, including its flexibility to amend...
If your company is private and the deal does not go through...
Generally, no action is necessary if you already...
Tax errors can be costly! Don't draw unwanted attention from the IRS. Our Tax Center explains and illustrates the tax rules for sales of company stock, W-2s, withholding, estimated taxes, AMT, and more.
Test your knowledge with our 
