Assertion: stock option's stock | /r/HasProperty | sold
Facets:
value: immediately
type: MANNER
value: sooner than the 1-year hold
type: TEMPORAL
value: ultimately
type: DEGREE
Source sentences:
text: but because the stocks were sold immediately after the options were exercised, she must realize ordinary income on the appreciation of the stock.
text: ISO holders will report nothing at this point; no tax reporting of any kind is made until the stock is sold.
text: and later when the stock is sold.
text: For regular tax purposes, incentive stock options have the advantage that no income is reported when the option is exercised and, if certain requirements are met, the entire gain when the stock is sold is taxed as long-term capital gains.
text: However, if the stocks are sold immediately after the option is exercised, they do not receive special taxation, putting them on equal footing with NQOs.
text: This avoids any tax liability on the unrealized appreciation in the old shares, until the stock is ultimately sold.
text: If stocks are sold sooner than the 1-year hold, it's called a "disqualifying disposition,” which is then treated just like a non-qualified stock option.
text: When the stock is sold, the employee pays either long- or short-term capital gains tax on any further appreciation as normal.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: When exercising the type of option known as Incentive Stock Options (ISOs), the bargain element is not added to taxable income upon exercise unless stock is sold.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: The bargain element for ISO-acquired stock is taxed as compensation in the year stock is sold if this occurs less than one year after the exercise date and less then two years after the grant date.
text: Employees granted stock purchase options or restricted stock may owe income tax at the time of grant, when stock is received, and when stock is sold.
text: However at least the net cost of the option can be used to reduce the gain on the stock when the stock is sold.
text: The closing share price in the market on the day of exercise then becomes the cost basis to be used when the stock is sold.
text: Tax consequences occur when stock options are exercised and when acquired stock is sold.
text: Income is never recognized with these options, in fact, until the stock is actually sold.
text: This maximum profit is realized if the call is assigned and the stock is sold.
text: In the case of a covered call, assignment means that the owned stock is sold and replaced with cash.
text: When common stock is sold or repurchased, it is usually for a price above the par value, so the excess amount over par is credited to an “additional paid in capital” account.
text: Of course, he or she will get this amount back from the sale, in addition to the spread (the difference between the market and exercise prices), when the stock is sold.
text: Of course, he or she will get this amount back from the sale, in addition to the spread (the difference between the market and exercise prices), when the stock is sold.
text: As with qualifying dispositions, there are no reportable tax consequences for disqualifying dispositions until the stock is sold, regardless of when it was exercised.
text: When the stock is sold, the broker will send a 1099-B showing sales proceeds of $1,500.
text: That’s the waiting time before a stock is sold or transferred to you.
text: Selling deep-in-the-money covered calls presents a trader with the opportunity to take some profit immediately, as opposed to waiting until the underlying stock is sold.
text: Instead, tax liability is deferred until the stock is sold, at which time the entire gain is taxed at long-term capital gains rates (as long as the stocks are sold at least one year after they are exercised and two years after the option is granted).Unlike nonqualified options, ISOs can’t be granted at a discount to the stock’s market value.
text: Instead, tax liability is deferred until the stock is sold, at which time the entire gain is taxed at long-term capital gains rates (as long as the stocks are sold at least one year after they are exercised and two years after the option is granted).Unlike nonqualified options, ISOs can’t be granted at a discount to the stock’s market value.
text: If early assignment of a short call does occur, stock is sold.
text: In the case of a collar position, exercise of the put or assignment of the call means that the owned stock is sold and replaced with cash.
text: When the stock is sold, the gain or loss is considered long-term regardless of whether the put is exercised, sold at a profit or loss or expires worthless.
text: Under the tax rules, the important point to remember is that a tax liability is assessed at the time when an option is exercised, not when the stock is actually sold.