Arnold exercised an incentive stock option in 2012, acquiring 1,500 shares of stock at an option price

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Arnold exercised an incentive stock option in 2012, acquiring 1,500 shares of stock at an option price of $80 per share. The FMV of the stock at the date of exercise was $110 per share. In 2014, the rights become freely transferable and are not subject to a substantial risk of forfeiture. Arnold sells the shares in 2015 for $165 per share. How do these transactions affect AMTI in 2012, 2014, and 2015?

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Fundamentals Of Taxation 2016

ISBN: 9781259812774

9th Edition

Authors: Ana Cruz, Michael Deschamps, Frederick Niswander, Debra Prendergast, Dan Schisler, Jinhee Trone

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