Good luck deciphering the chapter on valuing options, but the sections on private companies and
on phantom stock should have plenty of appeal.
Not exact matches
You will owe taxes
on «income» you have not yet received (often called «
phantom income»), and if your
stock later loses value or the company fails, you will have paid taxes
on income you never received.
If you have a sizable benefit at the time you purchase the shares but the
stock price declines sharply afterward, you can end up paying tax
on phantom income if you make a disqualifying disposition.