Section 83(b) Elections Question
I received restricted stock the other day; this is a first for me so I have a couple of questions:
1. I received 12,000 shares
2. They vest over 4 years
3. The stock price on the day averaged to 0.83
I believe the stock could go to $2.00 in two years (just my option).
If I want to file a section 83(b) to avoid future taxes at vesting and just have to pay the Capital Gains at the time of sale, less cost basis, do I have to pay for the restricted stock ($9,960) at this time?
I have read the online articles, but they all seem to trend towards founders.
Also, if I leave the company (retire) in 2 years does it make sense to do the section 83(b) filing.
I believe the stock could go up in the next couple of years and I would have 6,000 vested shares.