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Better Tax Laws for Startups' Employee Options is being Legislated

15 pointsby jaekwonover 8 years ago

2 comments

apercuover 8 years ago
I think that&#x27;s a great title and a welcome legislation if it happens.<p>In the US it&#x27;s pretty much impossible to give your employees shares or options, unless you have tons of cash to help them pay taxes.<p>I paid something like $29,000 in taxes on some shares in the 90&#x27;s. Never had enough capital gains to use all of the basis. When I emigrated to Canada I couldn&#x27;t bring the entire loss over (I was forced to sell the shares at a very low value due to my partnership agreement), just what the values of those shares would be at that date (much less than the shares were at when I paid tax on them). I think I got something like an $8k capital loss in Canada.<p>So, I probably used a couple thousand of the basis on capital gains in the US, and used much of the other 8k in Canada. So the IRS got basically $19,000 of my money for free.<p>I&#x27;d say it needs improvement.
jaekwonover 8 years ago
Lmk if there is a better title possible.
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