Employee stock option plan: How to save taxes on ESOPs— explained
1 year, 2 months ago

Employee stock option plan: How to save taxes on ESOPs— explained

Live Mint  

Any profit arising on the sale of shares allotted to an individual under the employee stock option plan is taxed under the head ‘Capital Gains’ in India. Taxation on ESOPs “When an employee is allotted shares below its fair market value, the difference between fair market value and the price paid is taxed as perquisite in the hands of the employee,” said Mumbai-based tax and investment expert Balwant Jain. ESOPs taxation: Tax at the time of sale In case they are held for a period of more than 24 months, they are treated as long-term assets, and any gains coming from their sale are considered to be long-term capital gains, said Founder and CEO, of Clear. held for a period not more than 24 months the gains are taxed at slab rate and tax saving opportunities are similar to salaried class of people, like 80C deduction, 80D deduction, etc.

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Income tax news: How the ESOPs are taxed in India?
1 week, 3 days ago

Income tax news: How the ESOPs are taxed in India?

Live Mint  

My employer offered me an ESOP two years ago when I joined the company. The shares concerning ESOP have tax incidence at two stages in India. Cost for the purpose of ESOP share shall be aggregate of the values of perquisite value taken for TDS purpose and amount if any paid by you, Since the shares being acquired by you …

Taxation of employee stock option plans
2 years, 8 months ago

Taxation of employee stock option plans

Live Mint  

Employee stock option plans have gained popularity among start-ups. Here’s an example: Say, on 1 April 2021, Minali joined Company XYZ and had the option to purchase 500 shares at an exercise price of ₹510 per share. Manav joined the company on 1 April 2021 and had the option to purchase 5,000 shares at an exercise price of ₹1 per …

Getting ESOPs as a salary package? Here’s why you should consider them
2 years, 11 months ago

Getting ESOPs as a salary package? Here’s why you should consider them

Live Mint  

ESOPs are regarded as a desirable alternative since workers can directly participate in the company's success by holding shares and can reap financial benefits by selling shares that were bought at a cheaper rate. Employee Stock Ownership Plans reward employees who have contributed to the company's wealth creation Employee stock ownership plans provide employees with the chance to build wealth …

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