GeorgeM777
Expert Alumni

Investors & landlords

There are two issues present in your situation.  The first involves taxation of RSUs, and TurboTax can assist with RSU taxation.  The second involves compensation, and TurboTax cannot assist with the specifics of your compensation as it relates to your RSUs.  Moreover, the compensation issue has to be resolved first before addressing the taxation issue.  

 

You mentioned that there was a "triggering event" and a "lock-up period" which prevented vesting until around mid-December 2021, at which time the stock price had declined by approximately $8 per share.  Generally, RSU vesting occurs when all restrictions have been removed and the employee has full ownership of the shares.  On the date of vesting, a value is assigned to the shares (generally the market price) and the employee is free to hold the shares or sell them.  In your case, the vesting was not of the type that would ordinarily occur in the typical RSU case.  If we understand you correctly, what you are saying is that your W-2 overstates your compensation and should be corrected.  Given the facts of your situation, the compensation issue needs to be resolved with your company

 

Accordingly, until you resolve the compensation issue, we cannot advise regarding the RSU taxation.  Moreover, because the company is a public company, their RSU compensation (and compensation generally) is likely discussed in its annual and quarterly reports.  Such reports are filed with the Securities & Exchange Commission and are publicly available.  You might want to review the sections in such reports relating to RSU compensation to determine the specific characteristics of your RSU plan. 

 

@irishtrojan

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"