I am trying to compute the taxes owed on sale of shares purchased under the IBM ESPP in the 90's. I have no historical data other than purchase date of each mini-lot and the following lines from an IBM 10-K from those years:The IBM Employees Stock Purchase Plan (ESPP) enables substantially all regular employees to purchase full or fractional shares of IBM common stock through payroll deductions of up to 10 percent of eligible compensation. The price an employee pays is 85 percent of the average market price on the last day of an applicable pay period. My understanding is that I have to handle the 15% discount at purchase time as regular income this year, and then capital gains from the basis FMV. I have no problem with looking up FMV for a given date. The quirk is that the recorded lot acquisition dates are the 10th of the month, but the paid price is determined by the last day of the previous month. So my doubt is if the basis should be the FMV on the recorded date or the one for the last day of month ? Any thoughts on this ?
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. M