Re:Compare career levels across companies
by joshuamorton on Thursday November 01, 2018 @04:35AM
(#18352147)
Options and rsus are different. I don't buy my rsus, the company just gives them to me, so I pay tax on any shares they give me, because they're income.
If I purchased them as options, different things would apply. But I'm happy paying tax on income of it means I get the shares for free.
The change in price if the shares is taxed as capital gains though.
This is the one where employees do not have to pay the income tax that would normally be charged on the market value of any shares or options granted to them.
If employees are given options under an approved EMI, they are only charged capital gains tax at 10% on the increase in value over what they pay for the shares (the option's 'exercise price'), so long as that price is at or above the market valuation of the shares on the date of granting the options.