Zitel-ZITL What's Happening Message Board

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Technology Stocks : Zitel-ZITL What's Happening

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To: CalculatedRisk who wrote (13010)	11/24/1997 6:28:00 PM
From: Biomaven	Read Replies (3) of 18263

Just for the sake of accuracy here: If you exercise a non-qualified option this _is_ a taxable event, and the spread between your option price and the price of the stock is compensation income subject to withholding. The exercise of an incentive stock option is not a taxable event, but if you sell it before the required holding period it becomes a taxable disqualifying disposition (but no withholding is generally required). Peter (a fellow ZITL short)

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