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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: A.L. Reagan who wrote (122049)	7/24/2002 3:25:17 PM
From: Clarksterh	Respond to of 152472

ALR - There's already a tax deduction and nobody's talking about changing the tax code on deductibility. So there is nothing about expensing options per books that should change tax planning. You are right that in effect the IRS already considers options expensed - and I had a mind burp and forgot about it. But the point remains that this incentivizes companies to maximize the value of thing they deduct (options) since it costs them no cash, either now or in the future, in order to minimize their taxes and thus maximize their cash flow. In fact, now that you've reminded me, this is often given as part of the reason that so many stock options were created recently. Thanks for catching my error! Clark