SIA Submits Comments to the IRS on the Collection of Income Tax for ISOs and ESPPs
Published on:
April 23, 2002
TheSecurities Industry Association (SIA)* provides comments to the Internal Revenue Service(IRS)regarding proposed guidance governing the application of the Federal Insurance Contributions Act (FICA), the Federal Unemployment Tax Act (FUTA), and collection of income tax at source, for incentive stock option plans (ISOs) and employee stock purchase plans (ESPPs), Notice 2001-72, Notice 2001-73. SIA requests that the final regulations provide that FICA and FUTA taxes do not apply on the exercise or disposition of ISOsor ESPPs.
*SIFMA is the product of a merger between the Securities Industry Association (SIA) and The Bond Market Association (TBMA) in 2006.