EleanoreS
Employee Tax Expert

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Good day Savoyboy,

 

Without having all the details of the stock plan (ISO, RSU, ESP) this is difficult to answer.

Some element of basis for the stock may be included in your W2 as ordinary income.  That amount will be counted as basis in the transferred stock. As your former spouse will be getting benefit of the basis that is included in your income and you are paying tax on; you may want to discuss this with your attorney.  After the stock is transferred; your former spouse would be responsible for the tax on any sale of the stock that has been transferred to them.

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