Marcus v. Comm'r
United States Tax Court
In a series of transactions between 1998 and 2000, P exercised incentive stock options (ISOs), acquiring 40,362 shares of V stock.
Read the full summary
In a series of transactions between 1998 and 2000, P exercised incentive stock options (ISOs), acquiring 40,362 shares of V stock. In 2001, Ps sold 30,297 V shares for $ 1,688,875. Ps had a regular tax basis in these shares equal to the exercise price, $ 127,920. Ps had an adjusted alternative minimum tax (AMT) basis in these shares equal to the exercise price increased by the amount included in alternative minimum taxable income (AMTI) by reason of the exercise of the ISOs, $ 4,472,288. Ps argue that the difference between the adjusted AMT basis and the regular tax basis of the V shares sold…
1Opinion of the Court
OPINION
Haines, Judge:
Respondent determined deficiencies in petitioners’ Federal income taxes of $491,829 and $178,664 for the years 2000 and 2001 (years at issue), respectively. After concessions,1 the issue for decision is whether petitioners may increase their 2001 alternative tax net operating loss (ATNOL) by the difference between the adjusted alternative minimum tax (amt) basis and the regular tax basis of stock received through the exercise of incentive stock options (ISOs) in 2000 but sold in 2001.
Background
The parties submitted this case fully stipulated pursuant to Rule 122.2 The…
2Cases cited6 opinions
- Allen v. Comm'rUnited States Tax Court · 2002
- Montgomery v. Comm'rUnited States Tax Court · 2006
- Tanner v. Comm'rUnited States Tax Court · 2001
- Merlo v. Comm'rUnited States Tax Court · 2006
- Merlo v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 2007
1 more not listed; retrieve them via the Exa API.
3Cited by3 opinions
- Vichich v. Comm'rUnited States Tax Court · 2016
- Evan and Carol Marcus v. CommissionerUnited States Tax Court · 2007
- Marcus v. Comm'rUnited States Tax Court · 2007