Backdating software not trading


From the supply side, the question is what motivates a firm to grant a backdated option, and from the demand side, what motivates an executive to demand (or, at the very least, accept) a backdated option?

Both sets of motivations arise from the quantitative and qualitative benefits, costs, and risks of issuing and receiving backdated options. Certain AMT may be carried forward and applied to reduce the general tax payable in subsequent years (to the extent that the general tax exceeds the tentative alternative minimum tax liability for the subsequent year).

If an employee exercises options that are otherwise qualified as ISOs but then disposes of the shares within one year of exercise or within two years of when the options were granted, the employee stock option benefit (as determined above for a NSO) is not included in income until the time of sale of the shares and the difference between the sale proceeds and the fair market value of the shares at the time of exercise is taxed as a short-term capital gain.[44] Short-term capital gains are taxed at the individual’s ordinary income tax rate.[45] However, if the shares decline in value between the time of exercise and the time of sale, then the employee benefit is limited to the difference between the sale proceeds and the strike price under the option.[46] Prior to the introduction of § 409A to the Code in late 2004, if the fair market value of an NSO was not readily ascertainable at the time of grant, no income was recognized for tax purposes until the option was exercised, regardless of whether or not the options were in-the-money on the grant date.[47] In either case, upon exercise, the amount included in income (and subject to tax at normal tax rates as compensation income) was equal to the difference between the strike price and the fair market value of the stock on the date of exercise.[48] This amount was also added to the basis of the stock for capital gains purposes.[49] Any further taxation was deferred until the underlying shares were sold, when the gain or loss—i.e., the difference between the sale price and the fair market value on the exercise date—was taxed as a capital gain or loss.[50] If the shares were held for one year or less, the gain was taxed as a short-term capital gain (taxable at regular marginal rates) whereas if the shares were held for more than a year, the applicable rate was the long-term capital gains rate, which is currently fifteen percent.[51] This tax treatment remains applicable to options provided that they are not in-the-money at the grant date. § 409A provides in part: (a) Rules relating to constructive receipt (1) Plan failures (A) Gross income inclusion (i) In general.—If at any time during a taxable year a nonqualified deferred compensation plan— (I) fails to meet the requirements of paragraphs (2), (3), and (4), or (II) is not operated in accordance with such requirements, all compensation deferred under the plan for the taxable year and all preceding taxable years shall be includible in gross income for the taxable year to the extent not subject to a substantial risk of forfeiture and not previously included in gross income.

Following corporate and accounting scandals such as Enron, Tyco, and World Com, the American Jobs Creation Act of 2004 added § 409A to the Code,[52] which radically changed the taxation of deferred compensation, including discounted stock options.[53] I. (ii) Application only to affected participants.—Clause (i) shall only apply with respect to all compensation deferred under the plan for participants with respect to whom the failure relates. § 409A applies to a broad range of deferred compensation, although it also provides a number of exceptions, including employee stock options that are granted not-in-the-money.[54] However, in-the-money options (including backdated options that appear to be not-in-the-money options) are caught by the section.

In particular, the relevant personal income tax rules in the two countries are compared and contrasted to demonstrate the role these rules may play in determining the demand for backdated options in the two countries.[23] As will be shown, this is potentially an important component in the decision of executives to accept backdated stock options and may provide an additional incentive for executives to demand them in Canada.

The taxation of stock options varies significantly between Canada and the United States.[24] In this part we summarize the differences, focusing on backdated options and incorporating a discussion of recent U. changes regarding the taxation of discounted stock options enacted in 2004 on the heels of the Enron, World Com, and Tyco scandals.

All employee stock options share the same general tax treatment in two areas. annual salary or bonus income), which is taxable in the year it is received, there are no tax consequences when stock options are granted or when they vest; rather, under subsection 7(1), a tax liability does not arise until the time the option is exercised, at the earliest.[27] The amount that must be included in income from employment upon exercise (or later, if certain conditions are met) is equal to the difference between the fair market value of the stock on the date the option is exercised and the strike price. A., the taxable portion is calculated as one-half of the capital gain or capital loss.[28] There are, however, several exceptions to the general rules described above that affect both the amount and timing of the inclusion.

This paper contrasts the post-tax returns of backdated at-the-money options to currently-dated in-the-money options (with the same strike price as the backdated options) and demonstrates that a Canadian executive can earn a significantly larger after-tax return from backdated options compared to a US executive.

This article considers in detail the potential role of personal income taxation in influencing demand for backdated options in Canada relative to the United States.


  1. Pingback:

  2. eric   •  

    [Read: 50 more really dirty and sexy dirty talking examples!

  3. eric   •  

    Ironically enough, if you could take the best of those women and the best of those men, and place them in a big room where they could sit at a table and ask each other questions in person – you’d probably have 4 or 5 new match-ups by the end of the night. All they have to do is get online every day, sitting on their princess throne and file through the dozens or more profiles of men who have messaged them throughout the day.

  4. eric   •  

    Not like just rudeness turn me too u find out is entirely up to in my priva.“Jessica should wear a thong or slim sexy lingerie and show her beautiful little ass open.

  5. eric   •  

    It’s Free to register, so what are you waiting for?

  6. eric   •  

    If you’re looking for a serious relationship, then Parship is the right dating site for you.

  7. eric   •  

    While you figure out the math, let me be clear that I’ve met several other women in their early- to mid-20s who also prefer to date from a much older pool for various reasons.

  8. eric   •  

    Explore thousands of real talker accounts at Talk To where we've revolutionized the phone sex experience. Whether you're a first time sub looking to be dominated or a veteran submissive looking for a new queen to worship- Talk To has a thriving community of fem doms specializing in BDSM, financial domination, and more. 18 teens aren't afraid to get dirty and flirty taking calls, sexting, skyping, live web cam and more!

  9. eric   •  

    Now it’s your turn to experience the power of Internet TV. v042 (ro) – serverul listei principale schimbat – atunci cand se apasa pe un post titlul aplicatiei era schimbat v042 (en) – the main list server changed – when a channel was clicked the application title was changing v041 (ro): – mici fixuri – butonul de donate scos – 3 categorii noi adaugate (christian, lifestyle, science) – 2 categorii scoase (entertainment, unknown) – notificarea de versiune noua merge din nou v041 (en): – small fixes – done button removed – 3 new categories added (christian, lifestyle, science) – 2 categories removed (entertainment, unknown) – future updates are again detected with pop-up v040 (ro): – mici fixuri – dupa ca lista principala e incarcata se afiseaza un mesaj cu diferenta de la ultima vizita – mesajul de reminder nu mai este afisat la deschiderea aplicatiei – dupa ce lista de posturi e incarcata se poate alege si filtru pe genuri – serverul listei principale schimbat – prima coloana din lista principala afiseaza complet numarul de posturi (peste 1000) – butoanele din tabul index repozitionate pentru a fi pe aceeasi linie cu checkboxurile – numarul de utilizatori online este afisat – posibilitate alegere alta valuta la donatie (EUR, USD, GBP) v040 (en): – after the main list is loaded the genres can be filtered – the main list server changed v039 (ro): – notificarea de versiune noua a fost din nou adaugata – link catre tv wave pentru android apare in pagina index – mai multe instante ale aplicatiei pot fi deschide in acelasi timp v039 (en): – future updates are again detected with pop-up – tv wave for android link image is on index page – multiple instances can now be opened v038 (ro): – tabul index a fost modificat – formatul “rtmp” este suportat in vlc – crash-urile cauzate de adobe flash player au fost eliminate v038 (en): – index tab has been modified – “rtmp” format is now supported by vlc – the crashes caused by adobe flash player were removed v037 (ro): – mesajul de eroare “H.264 player can not be created” care aparea la unele posturi in format sopcast a fost tratat v037 (en): – the error message “H.264 player can not be created” that appears at certain sopcast channels is now fixed v036 (ro): – fereastra de eroare atunci cand un post sopcast e deschis nu mai apare – icoana din tray dispare atunci programul e inchis – hint la icoana din tray v036 (en): – sopcast error message when opening a channel is gone – the tray icon is no longer present the application is closed – the tray icon has hint v035 (ro): – schimbare chat – atentionare asupra inceperii unui show/film preferat la o anumita ora – inregistrarea video pt windows 7 si vista merge – indicatie sub forma de imagine text in tabul tv – afisare la sopcast cati useri vad in acelasi timp respectivul post tv in lume – mici fixuri de text v035 (en): – chat is changed – reminder for a show/movie when a custom hour is set – video recording relative paths for windows 7 and vista works – image and text hint for the new users on how to open the list – sopcast users connected to a tv channel are shown near the buffer – small text fixes v034 (ro): – marimea font-ului din lista e memorata – un skin nou – mesaj atunci cand aplicatia e deja deschisa – suport la vlc pentru “rtsp” – eroarea care aparea la deschiderea aplicatiei fixata – lungimea embed code-ului marita v034 (en): – font size is remembered – new skin – message when application is already opened – support for vlc with “rtsp” – the error that appeared when opening application is fixed – embed code length is higher v033 (ro): – mici fixuri – posturile tv pot contine de acum si spatii in lista – mesaj atunci cand nu exista conexiune la internet la pornirea aplicatiei – fixata eroarea care aparea atunci cand porneai aplicatia a 2-a oara fara sa incarci lista de posturi – atunci cand se face screenshot se preia numele postului care ruleaza nu al celui selectat din lista – verificare mai buna atunci cand un nou update e valabil – marimea font-ului din lista e memorata – ultimul tab deschis este memorat – optiune de incarcare a unei liste proprii dintr-ul url local sau extern ( – reimprospatarea utilizatorilor online se va face de acum la intervale de 60 de sec pentru a evita eventuale incarcari ale serverului – evenimentul de “play” din meniul vlc este tratat – optiune de filtrare a posturilor tv – posibilitatea adaugarii in lista a posturilor tv avand embed code – eroarea care aparea cand lista favorita de programe era incarcata este fixata sper v033 (en): – small fixes – tv stations can contain also spaces in the list – error message appears when no internet connection is available – the error that appeared when starting the application on the second time without loading the list is fixed – when taking a screenshot the name of the playing channel is taken not from the one that was right clicked – better checking when verifying if a new version is avaiable – font size is remembered – last opened tab is remembered – option that allows the user to open it’s own list from a local/external file url ( – online users are refreshed after 60 sec in order to prevent servers loads – “play” event from vlc is now working – option to add a filter into the list – embed code is now supported – hope that the error that appeared while loading favorites list is gone v032 (ro): – optiune de schimbare a pistei audio la vlc (din rusa in engleza si invers) – optiune de schimbare aspect la vlc din 4:3 (letterbox) in 16:9 (wide) – ultimele articole din blog in tabul “index” – pop-up la deschiderea aplicatiei cu nr de posturi noi adaugate in lista – buton de “inapoi” la browser – celelalte hint-uri din browser traduse din engleza in romana – frame-ul wmp nu mai ramane pe ecran cand se minimizeaza aplicatia – eroarea care aparea cand lista favorita de programe era incarcata este fixata – posibilitatea adaugarii in lista a posturilor tv avand embed code optiune scoasa datorita numeroaselor erori generate v032 (en): – “shoutbox” changed to “chat” – option to change audio tracks in vlc (from russian to english and reverse) – option to change aspect ratio in vlc from 4:3 (letterbox) into 16:9 (wide) – last articles from the blog in the “index” tab – pop-up with the no of the latest submitted tv stations from last visit – added “back” button in the browser – other english hints translated into romanian – wmp frame doesn’t remain on the screen when application is minimized – hope that the error that appeared while loading favorites list is gone – users can send to the list embed codes for tv channels option removed due to the large number of side effects v031 (ro): – limba este tinuta minte – eroarea care aparea la inchiderea aplicatiei eliminata – lista de posturi favorite tine minte toate posturile adaugate – posturile din lista favorita pot fi mutate prin tragere – numele posturile din lista favorita pot fi modificate – transparenta la miscarea aplicatiei – redimensionarea aplicatiei se face de acum corect – skin-ul “xp” este inlocuit de altul nou pe nume “WLM” – tag-urile html sunt acceptate in liste – optimizare de cod – formatul rtmp va fi suportat de vlc in liste – click dreapta pe o celula din lista va selecta celula corecta – optiuni de saturatie si nuanta au fost adaugate pentru skin-uri – cand posturi noi sunt adaugate manual in lista favorita aceasta isi va face automat refresh pentru a fi vazute in lista imediat – aplicatia isi face singura update cand o versiune noua apare – inregistrarea audio adaugata din nou in aplicatie – toate erorile/exceptiile vor fi adauge intr-un log – miscarea splitterului dintre fereastra video si lista redimensioneaza corect fereastra video – un post adaugat care nu are numarul de plugin introdus se va vedea cu un semn de intrebare in lista v031 (en): – language is remembered – the error that appears sometimes on exit removed – favorite list now remembers every channel – favorite channels can be moved by drag’n’drop – favorite channels can be edited – blend on move – application resize is now done correctly – win xp is replaced by a new skin called “WLM” – html tags accepted on lists – optimizing code – added rtmp association with vlc – right click on a cell selects the correct cell – hue and saturation option for all skins – when the menu “add channels to favorites list” is used, the favorites list is refreshed with the new items just added – application auto-update – audio recording re-added – all generated errors are saved into a log – resize of the splitter is now done correctly – channels that don’t have an plugin number inserted are seen with a question mark in the list v030 build 2 (ro): – lista principala a fost inversata pt a nu mai scrola prin toata lista pt a vedea posturile noi introduse de utilizatori – ultimul post din lista proaspat adaugat este vazut – calitatea inregistrarii audio este marita de la 64 la 192 kbps iar cea video de la 800 la 1200 kbps v030 build 2 (en): – default list is reversed so that the new channels submitted by users are seen on top of the list – the last submitted tv channel is now seen in the list – audio bitrate changed from 64 to 192 kbps and video bitrate from 800 to 1200 kbps v030 (ro): – un singur tab/lista – inregistrarea video merge la toate pluginurile – utilizatorii pot modifica marimea fontului folosit in lista – numele pozelor capturate au acelasi tipar ca cel al inregistrarilor video – 2 skin-uri noi (Beijing si Vista) – efectul aero prezent la deschiderea aplicatiei precum si la meniuri gen pop-up – statusul la yahoo nu se mai schimba decat daca e bifata optiunea – trimiterea de programe tv a fost imprumutata de la p2p tv – s-a adaugat posibilitatea de deschidere a posturilor de tv apeland tasta “Enter” (necesara la telecomanda) – optiune de adaugare a posturilor tv intr-o lista favorita – optiune de adaugare a unuia sau a mai multor posturi tv in lista favorita v030 (en): – one tab/list – video recording works for all plug-ins – user can change the size of the grid font – the name of screenshots has the same pattern as for video recordings – 2 new skins (Beijing and Vista) – aero effect when application starts – the status is no longer changing if the checkbox is not clicked – the channels submission improvement has been added from p2p tv – added shortcut for playing a channel using “Enter” key (remote control possibility) – add to favorites option – add one or more custom channels to favorites list v029 (ro): – transmitere video din tv tuner sau fisier local pe internet – vizualizarea postului din tv tuner in tv player [suporta si functia de PIP din url propriu sau fisier local (permite vizualizarea a 2 posturi tv simultan)] – inregistrare video si capturare poza la click dreapta pe program – adaugarea de liste [lista filmon pe vlc (fostul green arrow) lista programelor din tzopcast si sopcast precum si ale userilor pe langa cele ale playerului] – o interfata mult mai placuta prin adaugarea a 3 skin-uri noi – browser cu adresa, bookmark-uri (posibilitate editare, adaugare link ca favorit), motor de cautare (include google, yahoo, bing, amazon, ask, ebay, wikipedia), chat deschis propunerilor si sugestiilor voastre – o mai buna integrare si functionabilitate a plug-inurilor – numele generic schimbat in Tv Wave – posibilitate schimbare limba (engleza si romana) – posibilitate oprire pc dupa un timp prestabilit – tv wave v029 va putea fi rulat simultan cu tv player v028 v029 (en): -video streaming from tv tuner or local file -your tv tuner channels can be viewed in tv player [it supports the PIP function from own url or local file(allows simultaneous viewing of 2 tv channels)] -better video recording and screenshot capture with a single right click -lists (filmon – vlc, tzopcast – sopcast, and users lists) -smooth interface with 3 new skins -browser with address,bookmars(user can edit,add link, save it as favourite), search -engine (it includes google,yahoo,bing,amazon,ask,ebay adn wikipedia), chat ready for your suggestions -better integration and functionability of plug-ins -the generic name changed to Tv Wave -possibility to change language (english and romanian) -possibility to shutdown pc after a predefined time -tv wave v029 can be opened while running tv player v028 tv wave, tvwave, tv wave v030, tv wave v031, wave tv, tv wave v 042, tv wave download, TV WAVE 042, tv wawe, tv wave 037, furbie ro, tv wave v030 download, download tv wave, furbie, tv wave v039, tv wave v030 download free, tv wave v031 download, tv wave v 032, tv wave v035, tv wave v042, download tv wave v 032, tv wave 030, tv vawe, tv wave download free, tv wave v035 download, tv wave v 037, tv wave v039 download, download tv wave v031, tv wave v 042 download, tv wave furbie 029, 033, 034, 035, 036, 037, 038, 039, 040, 041, 042, android market, atdhe, best, bundesliga, cfr, channels, com, digi sport live stream, digisport, digisport live, digisport live stream, digisport online, digisport pe net, digisport stream, dinamo, download, football, fotbal, free, free tv player, google store, Gratis, gsp tv live, gsp tv live stream, gsp tv online, gsp tv pe net, gsptv live, gsptv live stream, gsptv online, gsptv pe net, gsptv sopcast, Handball, Horse Racing, ilink, ilink tv, internet tv, itv, la liga, liga sagres, ligue 1, live, live internet, live internet tv, live television, live tv, live tv broadcasts, live tv channels, live tv online, Livep2p, livetv, media player, music, P2P, player, posturi tv, ppv, premier league, programe, programe tv, rapid, raw, romania, Schedules, serie a, smackdown, soft, sopcast, sports, steaua, Streams, television, televiziune online, tutoriale, Tv, tv broadcast, tv gratis, tv pe internet, tv tuner, tv wave, tv wave 030, tv wave 031, tv wave 032, tv wave 033, tv wave 035, tv wave 037, tv wave 040, tv wave v029, tv wave v030, tv wave v031, tv wave v032, tv wave v033, tv wave v035, tv wave v036, tv wave v037, tv wave v040, tv wave v042, tvlive, tvu, tvwave, tzopcast, UEFA, v033, v034, v035, v036, v037, v038, v039, v040, v042, video on demand, vlc, vlc tv, vod, watch tv, web tv, wmp Lupta perfecta, Parola pt a decripta tlf, sorcova haioasa, /owp/page/home, tv online pe mobil, filme pentru adulti free, voyeur romania, sopcast android arhiva, digi mobil tableta card de internet, superone sopcast, aplicatii androidfilme online, spartacus gods of the arena online subtitrat hd, aplicatie tv online pentru android national24plus, sorcova cu prosti, caricaturi deocheate, spartacus sezonul 2 online subtitrat, emoticoane traduse, de la ce suma se plateste vama prin aliexpres, filme pentru adulti online, pro tv online sopcast android, soft pentru vizionare filme pe android, cool tv mobile, tv wave android, aliexpress romania, aliexpress, filmulete adulti, market://details?

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>