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Author: ptheland Big gold star, 5000 posts Feste Award Nominee! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121177  
Subject: Re: RSU Questions Date: 3/24/2013 6:58 PM
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1. I do not need to declare a stock sale in 2012 on this because it's already included in my 2012 income and taxes paid, right?

Correct, but for the wrong reason. RSUs are a bit different than options. RSUs are pretty much just funny money. They aren't real - they are simply a piece of paper. When they are finally released to you, your company has to go out to the market (or dip into it's treasury stock) to get the shares they are giving to you. So they really took cash equivalent to 168 shares, used part of that to buy stock and used the balance for the various payroll tax withholdings. You got a bonus paycheck with the net check issued in shares of stock instead of cash.

So you didn't sell 61 shares (168 granted minus 107 actually issued), you purchased 107 shares.

2. When I do sell the 107 shares the cost basis is going to be the market value on the date of the release, right?

Yep.

3. When I sell the 107 shares my basis is again for 107 shares only, right? No need to go back to the original 168 number, right?

Correct again.

4. When I do sell the 107 shares am I going to recieve 1099-B from the broker?

You should. At least under current tax law and regulations.

--Peter
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