Stock Option & RSU Tax Calculator
Calculate tax implications of ISO, NSO, and RSU grants including AMT considerations and optimal exercise timing.
Grant Details
Exercise & Sale Scenario
Grant Summary
Grant Type:ISO (Incentive Stock Option)
Shares Granted:1000
Strike Price:$10.00
Current FMV:$50.00
Bargain Element:$40.00/share
Vested Shares:500
Exercise Cost & Value
Exercise Cost:$5000.00
Vested Value:$25000.00
Total Bargain:$20000.00
Total Profit at Sale:$25000.00
AMT Warning
ISO spread of $20000.00 may trigger AMT. AMT income: $120000.00 exceeds exemption $85700.
Potential AMT tax: $8918.00. AMT credit available for future years: $8918.00.
Tax Implications
Tax at Exercise:$0.00
Ordinary Compensation:$0.00
Capital Gains at Sale:$5000.00
AMT Adjustment:$20000.00
ISO Special Rules
- No regular tax at exercise, but AMT adjustment for the bargain element.
- Hold shares 2+ years from grant and 1+ year from exercise for long-term treatment.
- $100,000 annual ISO limit based on FMV at grant (not exercisable value).
- AMT credit can be used in future years when regular tax exceeds AMT.
- Disqualifying disposition (sell before holding period) converts to NSO treatment.