ESPP Taxation in India for a US listed firm
This query is : Open
24 July 2011
My company offers ESPP at a 15% discount. Every one some part of the salary after tax gets deducted as a contribution to ESPP corpus. At the end of the six months the stock are purchased at 15% discount of Market Price.The company is listed in US Stock Exchange?
I am not sure how the ESPP are taxed for stocks listed in US in short term and long term
I am not sure how the ESPP are taxed for stocks listed in US in short term and long term
25 July 2011
Go through the DTA with US for tax ability of Espp
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CA. Krishna K Neeraj
(Expert)
25 July 2011
When you will transfer the shares recd through ESPP route, then capital gain will arise. In US, there is capital gain.
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25 July 2011
So it means whether i sell the shares after holding them for 1-year or just after alloment i.e.short-term...in both cases tax will arise.As in case of short term it will be treated as extra income on hand and taxed accordingly while for Long term if i recall it correctly its 20%
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