The IRS would likely assess a penalty for late payment of tax if that is what happend and they discovered it.
Stock given to an employee would likely be considered wage income regardless of how it was reported to the worker. As such, it should be subject to social security and income tax. However, your employer should be responsible for half of the social security tax so it is posible the IRS would simply assess you income tax and half what you would pay for self-employment tax. So, if you reported it as Other Income you would be shorting the government out of about 8% of the tax that should have been paid in. If you report it as self-employment income, you are overpaying about the same amount. You need to take that into consideration given the amount of money involved to see which way you want to treat it.
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