Company: VCYT
Filing Date: 2025-04-29
Form Type: DEF 14A
Source: 0001384101-25-000051
Chunk: 41

Company: VERACYTE, INC.
Filing Date: 2025-04-29
Form: DEF 14A
Chunk 41
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 the length of time the recipient holds the shares.

#### Restricted Stock Units
A holder of RSUs does not recognize taxable income when the RSUs are granted. The recipient of the award generally will recognize ordinary income in each year in which the units vest in an amount equal to the fair market value of the shares of common stock received. Any gain or loss recognized on a subsequent disposition of the shares of common stock generally will be short‐term or long‐term capital gain or loss, depending on the length of time the recipient holds the shares.

#### Veracyte2025 Proxy Statement37

#### Proposal Five

#### Other Awards
The grant of restricted stock awards, stock bonus awards and performance shares will generally not be a taxable event. Generally, the recipient will recognize ordinary income equal to the excess of the fair market value over the price paid, if any, in the first taxable year in which his or her interest in the shares underlying the award becomes either (i) freely transferable or (ii) no longer subject to substantial risk of forfeiture (unless, with respect to an award of restricted stock, the recipient elects to accelerate recognition as of the date of grant).

In each of the foregoing cases, we will generally have a corresponding deduction at the time the participant recognizes ordinary income, subject to Section 162(m) of the Internal Revenue Code and the relevant income tax regulations. Section 162(m) places a limit of $1 million on the amount of compensation that we may deduct as a business expense in any year with respect to certain of our most highly paid executive officers. We may from time to time pay compensation to our executives that may not be deductible if the Compensation Committee believes that doing so is in the best interests of our stockholders.

#### ERISA Information
The 2023 Plan is not subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended.

New Plan Benefits

Our NEOs and members of our Board of Directors have an interest in this proposal by virtue of them being eligible to receive equity awards under the 2023 Plan. No awards have been granted that are contingent on the approval of the Plan Amendment. Future awards under the 2023 Plan to executive officers, employees or other eligible participants are discretionary and cannot be determined at this time. Currently, our non-employee directors are entitled to receive cash and equity compensation for their service as directors as described above under “—2024 Director Compensation . ”

History of Grants Under the 2023 Plan

The following table sets forth the number