NSO

(redirected from Nonqualified stock option)
Also found in: Financial, Acronyms.

NSO

Abbrev. for National Solar Observatory.
References in periodicals archive ?
The treatment of rewards program points in Shankar is similar to the treatment of nonqualified stock options. The employee recipient of the nonqualified stock options has something of value when he or she receives the options but is not taxed until the options are exercised.
Clients with nonqualified stock options may wish to wait to exercise those shares if they think they will be in a lower income tax bracket at some point in the future (which could also lower their eventual capital gains tax on sale of the underlying stock).
Although both of qualified stock options and nonqualified stock options are able to recognized as compensation expenses in financial accounting after May 1st 2006, under this revision of taxation for stock options, only grantors of nonqualified stock options are able to include for stock option expense for taxation (Corporation Tax Act 54).
Any exercises after this time frame are taxed as nonqualified stock options.
From reading the note to Cisco's financial statements contained in Exhibit 1, determine whether the options granted appear to be incentive stock options (ISOs) or nonqualified stock options (NQSOs).
We start by recomputing the growth rate in each year and removing from total compensation an estimate of overall nonqualified stock option realizations in public companies.
In this case the IRS ruled the husband had to recognize compensation income when he transferred both incentive and nonqualified stock options to his ex-wife.
For employees, the treatment of nonemployer plans is the same as that for traditional nonqualified stock option plans.
When property is received in the form of a nonqualified stock option, Sec.
Tax Deposit Requirements for Nonqualified Stock Option Exercises
Upon exercise of a nonqualified stock option (NQSO), an employee receives income from wages that is subject to withholding for federal income, social security (Federal Insurance Contribution Act or FICA) taxes, and Medicare taxes, as well as for state and local income taxes.
In private letter ruling 9629028, a corporation with an incentive stock option (ISO) plan and a nonqualified stock option (NQSO) plan was allowed to let its employees make a "constructive exchange" (not physical exchange) of the shares already owned instead of mailing them to the corporation.