Question

Need help with Vesting Date I got wrong.Required information [The following information applies to the questions displayed below.] On January 1, year 1, Dave receive

0 0
Add a comment Improve this question Transcribed image text
Answer #1

ANSWER :-

Taxes due Formula
Grant Date -   -
Vesting Date $9,000 =(30*1000)*30%
Sale date $1,500 =(40*1000-30*1000)*15%
Tax on grant date is zero. Tax on vesting date will be charged at 30% rate and on sale date will be 15% of sale price above adjusted basis.

_____________________________________________

If you have any query or any Explanation please ask me in the comment box, i am here to helps you.please give me positive rating.

*****************THANK YOU**************

Add a comment
Know the answer?
Add Answer to:
Need help with Vesting Date I got wrong. Required information [The following information applies to the...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Required Informatlon [The following information applies to the questions displayed below On Janua...

    Required Informatlon [The following information applies to the questions displayed below On January 1, year 1, Dave received 1,200 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $27 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave's restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund...

  • Required information [The following information applies to the questions displayed below! On January 1, year 1...

    Required information [The following information applies to the questions displayed below! On January 1, year 1 Dave received 1,000 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $7 per share. Dave's restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share...

  • On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK...

    On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $7 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price...

  • On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK...

    On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $7 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price...

  • On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK...

    On January 1, year 1, Dave received 1,000 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $7 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price...

  • On January 1, year 1, Dave received 900 shares of restricted stock from his employer, RRK...

    On January 1, year 1, Dave received 900 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $11 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price...

  • On January 1, year 1, Dave received 2,000 shares of restricted stock from his employer, RRK...

    On January 1, year 1, Dave received 2,000 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $21 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price...

  • [Q14+15] On January 1, year 1, Dave received 2,500 shares of restricted stock from his employer,...

    [Q14+15] On January 1, year 1, Dave received 2,500 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $13 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share...

  • 1. What are Dave's taxes due if his ordinary marginal rate is 32% and his long...

    1. What are Dave's taxes due if his ordinary marginal rate is 32% and his long term capital gains rate is 15% 2. If Dave's stock price are correct. what are the tax consequences of these transactions to RRK? On January 1, year 1, Dave received 1,200 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $27 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave's restricted shares will...

  • Required information [The following information applies to the questions displayed below.] On January 1, year 1,...

    Required information [The following information applies to the questions displayed below.] On January 1, year 1, Dave received 1,150 shares of restricted stock from his employer, RRK Corporation. On that date, the stock price was $8 per share. On receiving the restricted stock, Dave made the 83(b) election. Dave’s restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT