Hi, I receive cash salary + stock as part of my package in Australia. As a result, I pay personal income tax on the valuation of the stock at (approx) the time it is *issued* to me. That is, I pay tax now on a benefit that may not be realized. This is due to a recent Australian tax ruling (I forget the name) designed to prevent fat executives from receiving outrageous stock options instead of taxable salary. A side- effect is to disadvantage cash-strapped start-ups offering these employee incentives/benefits.
There was a lot of media attention a year or two ago this and there was some industry backlash, but focus has shifted now. Fortunately cash-strapped startups have low valuations. However, the hiring business is correct, in Australia at the moment it presents significant complications to them to offer stock (options) that are "earned". Hope that helps, Jeromy Evans On Feb 21, 4:37 pm, Serdar Sahin <ser...@hebux.com> wrote: > Hi, > > This is mostly a US culture and slowly adapted into the other cultures. It > is also not as common in Europe as they are in the US, though there are > thousands of companies. > > If a startup doesn't offer stock options, I don't consider it a startup. > This is just my point of view. It loses its spirit. People care percentages > too much. It has more meaning if you have a $10.000.000 company and own %20 > of the company rather than owning %100 of $100.000 company. Stock options > are one of the most important things that leads to success. > > Serdar Sahin > > > > On Mon, Feb 21, 2011 at 4:12 PM, Curious <adamst...@gmail.com> wrote: > > I am considering a new job offer, and found out that they aren't > > providing stock options as part of the offer package. They sited a new > > Australian tax law that makes it a huge tax event to pocket them. > > > Every job offer in the US includes stock, so I'm surprised it's not > > here. Should I be expecting stock options with my offer package? > > > -- > > You received this message because you are subscribed to the Silicon Beach > > Australia mailing list. > > > Guidelines on discussion: > >http://groups.google.com/group/silicon-beach-australia/msg/351e183e13... > > > No lurkers! It is expected that you introduce yourself. > > > To post to this group, send email to > > silicon-beach-australia@googlegroups.com > > To unsubscribe from this group, send email to > > silicon-beach-australia+unsubscr...@googlegroups.com > > For more options, visit this group at > >http://groups.google.com/group/silicon-beach-australia?hl=en?hl=en -- You received this message because you are subscribed to the Silicon Beach Australia mailing list. Guidelines on discussion: http://groups.google.com/group/silicon-beach-australia/msg/351e183e1303508d?hl=en%3Fhl%3Den No lurkers! It is expected that you introduce yourself. To post to this group, send email to silicon-beach-australia@googlegroups.com To unsubscribe from this group, send email to silicon-beach-australia+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/silicon-beach-australia?hl=en?hl=en
