Period of holding in stock option cases
I have been a beneficiary of stock option scheme. Can I count the period of holding from the date on which the option is made available to me or should I wait till the shares are allotted after exercise of my right to option.
Mere availability of option, which may or may not be exercised, is not a taxable event. The period of holding can be counted only from the date of allotment on which date the shares get vested in the employee.
It has been so pointed out by the Tribunal in M. Giridhar Krishna v Asst. CIT (2008) 307 ITR (AT) 68 (Bangalore).
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