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A comment on Former Uber employees have gone into debt to exercise options they can’t sell. Parent comment

Re:Former Uber employees have gone into debt to exercise opt... by burke on Tuesday December 12, 2017 @01:04PM (#15907849)
Canada has a good rule for this: There's a special class of company called Canadian-Controlled Private Corporation (CCPC). When exercising options issued by a CCPC, the tax burden is deferred until disposition.

https://www.collinsbarrow.com/en/cbn/publications/taxation-o...

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Re:Former Uber employees have gone into debt to exercise opt... by curmudgeon9 on Tuesday December 12, 2017 @01:31PM (#15908111)
And the company going belly up (or an acquisition scenario where common shares are worth zip) is a disposition that will make the tax due.

You can however use the Allowable Business Investment Loss deduction to deduct half, and if you hold the CCPC shares for two years, you can deduct the other half. So the danger zone is the two year window after exercising.

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Re:Former Uber employees have gone into debt to exercise opt... by TimPC on Tuesday December 12, 2017 @01:28PM (#15908082)
Erroneous comment referring to legacy tax rules. I've edited it away for clarity.
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Re:Former Uber employees have gone into debt to exercise opt... by curmudgeon9 on Tuesday December 12, 2017 @01:32PM (#15908113)
The CCPC status is grandfathered in if your options were granted when the company was a CCPC.
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