Company: APCXW
Filing Date: 2025-04-17
Form Type: DEF 14A
Source: 0001683168-25-002670
Chunk: 32

Company: AppTech Payments Corp.
Filing Date: 2025-04-17
Form: DEF 14A
Chunk 32
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 be exercisable within 10 years from
the date of grant. An employee granted an incentive stock option generally does not realize compensation income for federal income tax
purposes upon the grant of the option. At the time of exercise of an incentive stock option, no compensation income is realized by the
optionee other than tax preference income for purposes of the federal alternative minimum tax on individual income. If the shares acquired
upon exercising an incentive stock option are held for at least two years after the option grant and one year after exercise, the excess
of the amount realized from the sale over the exercise price will be taxed as a capital gain. If the shares acquired on exercise of an
incentive stock option are disposed of within less than two years after the grant or one year of exercise, the optionee will realize taxable
compensation income equal to the excess of the fair market value of the shares on the date of exercise or the date of sale, whichever
is less, over the exercise price, and any additional amount realized will be taxed as a capital gain.

Stock Appreciation Rights

A participant who is granted
a SAR generally will not recognize ordinary income upon receipt of the SAR. Rather, at the time of exercise of such SAR, the participant
will recognize ordinary income for income tax purposes in an amount equal to the value of any cash received and the fair market value
on the date of exercise of any shares received. AppTech generally will be entitled to a tax deduction at such time and in the same amount,
if any, that the participant recognizes as ordinary income. The participant’s tax basis in any shares received upon exercise of
a SAR will be the fair market value of the shares on the date of exercise, and if the shares are later sold or exchanged, then the difference
between the amount received upon such sale or exchange and the fair market value of such shares on the date of exercise will generally
be taxable as long-term or short-term capital gain or loss (if the shares are a capital asset of the participant) depending upon the length
of time the participant held such shares.

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Restricted Stock

A participant generally will
not be taxed upon the grant of restricted stock but rather will recognize ordinary income in an amount equal to the fair market value
of the shares at the time the shares are no longer subject to a “substantial risk of forfeiture” (within the meaning of the
Internal Revenue Code). AppTech generally will be entitled to a deduction at the time when, and in the