Can the various stock option types be used by an LLC?
July 21, 2003
Subject: LLC and Options
Date: Wed, 18 Jun 2003
Can the various types of stock options be used in an LLC?
Date: 18 Jul 2003
See my discussion about the new proposed regulations for ISOs and ESPPs in my newsletter.
If the LLC is electing to be taxed as a corporation, interests in the LLC will qualify for ISOs and ESPPs. Interests in an LLC that is electing to be taxed as a pass-through or disregarded entity probably won’t qualify.
Non-qualified employee options could be designed for any type of LLC.