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Is it worth exercising ISO Options before an exit to get ahead of AMT tax? - Printable Version

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Is it worth exercising ISO Options before an exit to get ahead of AMT tax? - Albert - 07-03-2021

Is it worth exercising ISO Options before an exit to get ahead of AMT tax?

I work for a startup that I am 99% confident will successfully exit. Our option grants are for less than a dollar a share, and if we exit it will likely mean our shares are in the high 10’s of dollars.

I read somewhere that buying shares as you go and holding them while your income is low enough to not pay AMT was a good way to work around the giant tax you get once you exercise.

Anyone have experience with this?

submitted by /u/tudorteal
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