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by queuebert 1809 days ago
At the long-term capital gains rate, maybe.

What would capture a lot of revenue from people like Bezos is to tax stock option gains, when realized, as regular income.

Then companies couldn't shelter their CEOs from tax by paying them mostly in options rather than salary. And the CEO would still care about growing the company so that their after-tax gains are maximized.

1 comments

>And the CEO would still care about growing the company so that their after-tax gains are maximized.

but the strike price of such options have to be the market price (when they're granted). They can't give bezos options with $0.01 strike price when AMZN is trading at $3600[1]. In that sense, it already works like how you want it to work.

[1] well they can, but they wouldn't be ISOs and would be taxed at regular tax rates.