Not all employee stock purchased would have a situation where you need to report ordinary income associated with the discount in the year of sale. If you had incentive stock options (ISO) and held them for more than one year from the date they were exercised and two years from the grant date, then all of your gain is capital gain and there is no income from discount. However, if they were non-qualifying stock options (NSO), they would be treated like RSU's with the discount treated as ordinary income in the year you acquire them. So, it is best to look on your W-2 form to see if there is income from the discount, and use that as a guide as to whether you have to deal with the discount or not in year of sale.
You are correct regarding the RSU's, that discount would only be reported in the year the stock vested.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
