I owe Federal taxes. The income I earned includes stock grants. But, I didn't sell that stock.

posted

"The income I earned includes stock grants."

So you now own some of your employer's stock, stock that you could have, if you wished, sold immediately upon receipt?

If that's the case then the inclusion of that stock, as a form of "compensation", on your W-2 is proper and that compensation is taxable. The point is that your employer gave you something very valuable, something that you could have turned into cash instantly.

Tom Young