Message Font: Serif | Sans-Serif
No. of Recommendations: 0
I bought some company stock through an employee purchase plan which allows me to buy the stock at a discount to the market price. When I sold the stock through my personal broker less than a year later, my company included the profits on my W2 as income and said this was classified as a "disqualifying disposition". They did not further clarify how it is to be treated.

I assume that, since the profit has been included in my income, I don't need to claim this sale as a capital gain. However, I'd like to make sure I'm doing the right thing before filing.

Any thoughts?
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.