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Hi, my name is Mark. I will be happy to help you wit your questions. You mentioned that you will pay tax in the UK (10%). What kind of options were these?
Ok please give me a moment to prepare your response.
Sorry for the delay. I needed to step away from the computer. With an incentive stock option there is no taxes when the options are granted or exercised. The taxes come into play when the stock is sold.
Do you know if this is a non-qualified stock option?
There are different types of options I just wanted to make sure that I was giving you the correct answer based on your situation.
How long has it been since you exercised the option? How long has it been since the ISO was granted?
Ok when you exercise the option the difference between the current price and the option price would be treated as ordinary income. This will most likely be added to your total wages. The would be eligible to claim a Foreign Tax Credit on the UK taxes.