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defap | 7 years ago

Yes for ESPP but no for RSUs, which is what folks are talking about here. Selling RSUs when they vest incurs $0 capital gains.

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jmalicki|7 years ago

For an ESPP, the discount you get from the share price is also considered wages not capital gains (in fact shows up on your W-2 !)

TomVDB|7 years ago

That’s only true for the guaranteed discount on the lock-in price (0-20% depending on the company.)

For a stock with lots of appreciation, the real bonus is in the stock price appreciation in the 2 year during which the price is locked in.

That part gets taxed at capital gains if you hold the stock long enough.

https://www.mystockoptions.com/content/how-long-must-i-hold-...