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Exercising US Company Stock Options (ISOs) in the UK

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MaryZ

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Hey folks! I need some advice (and ideally a contact to a good tax advisor!) on the following matter: I'm about to sign a Incentive Stock Option grant from a US company (startup I jointed really early). The strike price is really low so I could easily afford to exercise all my options early. The problem is the tax implications: as a US non-resident and non-citizen (I'm a UK resident, with a Polish passport) I'm not sure what is the best course of action: 1) sign as an individual 2) Sign as a limited company in the UK. And then - I was thinking that I should exercise all my options early to avoid paying a large income tax on the spread (there is some spread already, and I'm confident the company will do well so I don't mind making the investment now). But I know I'd have to pay CGT (Capital Gains Tax) too when I sell the stocks eventually - so the question is, would it be better to do it as a company or an individual? If I hold on to the stock for 2 years after buying them I could qualify for a lower CGT (10% rather than 40%) as an individual. But I'm not 100% sure about the "could" part. As an LTD it would be 19%.

Anyone been in this situation? Thank you!
 
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