Employees generally must recognize income upon the receipt of employer stock to the extent that the fair market value of the stock received is greater than the amount, if any, paid by the employee for the stock.
If the employee is taxed on receipt of the stock, that could be a real problem, as he
Close to the Vest: Founders’ Stock and Vesting
Your startup was launched only a few months ago and your co-founder has just informed you that he’s leaving. It hits you that your co-founder just walked out the door with 50% of the equity in the company. Oops.
Founder breakups are not uncommon, but what happens to the exiting founder’s stock will depend on
PE Funds Could be Liable for Certain Portfolio Company Pension Obligations
Sun Capital Partners was dealt a harsh blow by the United States Court of Appeals for the First Circuit in a recent decision where the court found that this private equity fund could be held liable for the pension withdrawal liability of its portfolio companies. The court essentially
espoused the view of the Pension Benefit