http://www.naffziger.net/blog/2008/12/27/making-an-irs-section-83b-election/ Startups, Search & Seattle Tue, 07 Feb 2012 20:09:00 +0000 hourly 1 http://wordpress.org/?v=3.2.1 http://www.naffziger.net/blog/2008/12/27/making-an-irs-section-83b-election/comment-page-1/#comment-7746 davenaff Wed, 07 Sep 2011 05:56:00 +0000 http://www.naffziger.net/blog/?p=544#comment-7746 I think you are confusing the purpose of the 83b. The 83b would only apply if you were to early exercise your options. If you aren't going to early exercise, you don't need to file the 83b (but of course check with your accountant/lawyer/advisor etc. I think you are confusing the purpose of the 83b. The 83b would only apply if you were to early exercise your options. If you aren’t going to early exercise, you don’t need to file the 83b (but of course check with your accountant/lawyer/advisor etc.

]]> http://www.naffziger.net/blog/2008/12/27/making-an-irs-section-83b-election/comment-page-1/#comment-7745 Tony Wed, 07 Sep 2011 01:33:00 +0000 http://www.naffziger.net/blog/?p=544#comment-7745 So I'm fresh out of school and I have some a small percentage at my current start-up gig.  Given the just leaving school, my savings are barely existent, so I don't know how I would be able to pay upfront for my shares.  You see, the FMV (we've done two rounds) is now sizeable and would leave me with anywhere from 11-20K in tax liability (i have a loan from the company to pay for the shares).  How can I file an 83b and not have to go into debt to pay the IRS? So I’m fresh out of school and I have some a small percentage at my current start-up gig.  Given the just leaving school, my savings are barely existent, so I don’t know how I would be able to pay upfront for my shares.  You see, the FMV (we’ve done two rounds) is now sizeable and would leave me with anywhere from 11-20K in tax liability (i have a loan from the company to pay for the shares).  How can I file an 83b and not have to go into debt to pay the IRS?

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