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Financial Planning / Tax Strategies


Subject:  Re: ESPP Computations Date:  3/10/1999  6:05 PM
Author:  TMFTaxes Number:  11883 of 127753

[[I think TurboTax is wrong, if your ESPP is like most of them.

In the plan I'm currently in, and every previous one, the plan instructions said
essentially "If you sell your shares before either two years from the option date,
or one year from the purchase date, then you owe regular income on the

But, again, we must be careful NOT to confuse a stock option plan (either NQ or ISO) with a straight stock purchase plan. They have different tax rules all together. I believe that the poster was talking about a straight stock purchase plan. The information that you are presenting above is for an ISO. Completely different.

I could certainly be wrong. But the best place for the reader to go would be to the PLAN SUMMARY of the specific plan that they are involved with to get some backround on the tax situation for their plan.

TMF Taxes
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