📈 Stock Market 5h ago · Jake FitzGerald

Why Startup Founders Can Sell $10 Million in Stock and Owe Zero Federal Tax

24/7 Wall St
View Channel →
Why Startup Founders Can Sell $10 Million in Stock and Owe Zero Federal Tax
Source ↗ 👁 0 💬 0
The post Why Startup Founders Can Sell $10 Million in Stock and Owe Zero Federal Tax appeared first on 24/7 Wall St..
A founder who sells $10 million of stock in a startup can owe no federal income tax on the gain, provided the shares meet the qualified small business stock (QSBS) rules in Section 1202. Under the statute, gross income “shall not include” the excluded share of gain from qualified small business stock (26 U.S.C. § 1202(a)(1)). The rule matters right now because private

Comments (0)

Sign in to join the discussion

More Like This

The 10-Year Treasury Just Hit 5%. AT&T Pays About the Same. Here’s What a Retired Couple With 10,000 Shares Should Do With the Check
24/7 Wall St. · 3h ago
Nvidia Shares Just Crashed Nearly 30% in Five Weeks. Dan Ives Says Losing Jensen Huang Would Cost Up to 30% More. Here’s the Math
24/7 Wall St. · 3h ago
Realty Income Just Raised Its Dividend Hours After the 10-Year Treasury Hit 5%. A Widow With $300,000 in the Stock Now Gets $1,370 a Month. Here’s How Safe the Check Is
24/7 Wall St. · 4h ago
Elon Musk Just Warned SpaceX Revenue ‘Will Drop’ If Compute Gets Cheap. Deutsche Bank Raised Its 2028 Forecast $18 Billion Two Days Later
24/7 Wall St. · 4h ago
The 100% Survivor Lock-In: Why the Higher Earner’s Social Security Claiming Age Rules the Whole Household
24/7 Wall St. · 4h ago
In 1957, A Pediatrician Signed Up For An Investing Class In Omaha. She Decided To Invest Half Her Life Savings With The Teacher. His Name Was Warren Buffett. At 71 Years Old She Was Still Practicing Medicine And Carol Angle’s Family Fortune Was $300 Million.
24/7 Wall St. · 4h ago