I am employed as the seniormost executive in a small education company in Fremont. As a reward for my 10 years of service, I negotiated a 10% equity in the company. The owner says that there is no way that he can do a legal transfer of stock (stock grant) to me without me incurring a large amount of tax. So, he is asking me to accept a stock options type situation instead.
I would much rather receive an actual share in the business than a stock options type situation. If the taxes to be paid are in the thousands or tens of thousands, I would be inclined to pay them by getting a loan. However, it is not clear how much the taxes would be, or what process is to be followed in this case.
Your comments?
Note that I want initial communication by email, so I have put in a dummy phone number.
I would much rather receive an actual share in the business than a stock options type situation. If the taxes to be paid are in the thousands or tens of thousands, I would be inclined to pay them by getting a loan. However, it is not clear how much the taxes would be, or what process is to be followed in this case.
Your comments?
Note that I want initial communication by email, so I have put in a dummy phone number.
