§6039 — Returns required in connection with certain options
5 cases·5 cited
Statute Text — 26 U.S.C. §6039
Every corporation—
which in any calendar year transfers to any person a share of stock pursuant to such person’s exercise of an incentive stock option, or
which in any calendar year records (or has by its agent recorded) a transfer of the legal title of a share of stock acquired by the transferor pursuant to his exercise of an option described in section 423(c) (relating to special rule where option price is between 85 percent and 100 percent of value of stock),
shall, for such calendar year, make a return at such time and in such manner, and setting forth such information, as the Secretary may by regulations prescribe.
Every corporation making a return under subsection (a) shall furnish to each person whose name is set forth in such return a written statement setting forth such information as the Secretary may by regulations prescribe. The written statement required under the preceding sentence shall be furnished to such person on or before January 31 of the year following the calendar year for which the return under subsection (a) was made.
For purposes of this section—
Any option which the corporation treats as an incentive stock option or an option granted under an employee stock purchase plan shall be deemed to be such an option.
A statement is required by reason of a transfer described in subsection (a)(2) of a share only with respect to the first transfer of such share by the person who exercised the option.
Any corporation which transfers any share of stock pursuant to the exercise of any option described in subsection (a)(2) shall identify such stock in a manner adequate to carry out the purposes of this section.
For definition of—
the term “incentive stock option”, see section 422(b), and
the term “employee stock purchase plan”, see section 423(b).
Treasury Regulations
- Treas. Reg. §Treas. Reg. §1.6039-1 Returns required in connection with certain options
- Treas. Reg. §Treas. Reg. §1.6039-1(a) Requirement of return with respect to incentive stock options under section 6039(a)(1).
- Treas. Reg. §Treas. Reg. §1.6039-1(b) Requirement of return with respect to stock purchased under an employee stock purchase plan under section 6039(a)(2).
- Treas. Reg. §Treas. Reg. §1.6039-1(c) Time for filing returns.
- Treas. Reg. §Treas. Reg. §1.6039-1(d) Penalty.
- Treas. Reg. §Treas. Reg. §1.6039-1(e) Exception to return requirements of section 6039(a) for certain nonresident aliens—(1) Return requirement under section 6039(a)(1).
- Treas. Reg. §Treas. Reg. §1.6039-1(f) Effective/applicability date—(1) In general.
- Treas. Reg. §Treas. Reg. §1.6039-1(i) §1.6039-1(i)
- Treas. Reg. §Treas. Reg. §1.6039-1(v) §1.6039-1(v)
- Treas. Reg. §Treas. Reg. §1.6039-1(x) The number of shares to which legal title was transferred by the transferor.
- Treas. Reg. §Treas. Reg. §1.6039-2 Statements to persons with respect to whom information is reported
- Treas. Reg. §Treas. Reg. §1.6039-2(a) Requirement of statement with respect to incentive stock options under section 6039(b).
- Treas. Reg. §Treas. Reg. §1.6039-2(b) Requirement of statement with respect to stock purchased under an employee stock purchase plan under section 6039(b).
- Treas. Reg. §Treas. Reg. §1.6039-2(c) Time for furnishing statements—(1) In general.
- Treas. Reg. §Treas. Reg. §1.6039-2(d) Penalty.
- Treas. Reg. §Treas. Reg. §1.6039-2(e) Effective/applicability date—(1) In general.
- Treas. Reg. §Treas. Reg. §301.6039-1 Information returns and statements required in connection with certain options
5 Citing Cases
§§ 6039G(c)(2), 6704(c)(1), 6652(f)–(j), 6709(c)). And we generally interpret Code provisions that use the same words to have the same meaning. See id. (citing Elec. Arts, Inc., 118 T.C. at 241). “Thus, 14 although the section 170(f)(11)(A)(ii)(II) ‘reasonable cause’ defense relieves the taxpayer from disallowance of a deduction rather than from im
Such administrative provisions “reflect[] the different circumstances of foreign-owned and domestic-owned businesses.” See H.R. Rept. No. 101-247, at 1249 (1989), 1989 U.S.C.C.A.N. 1906, 2719. Section 882(c)(2) and its prede- cessors resemble these provisions by imposing special administrative requirements on foreign taxpayers. Both the
Generally, section 6039F requires taxpayers to report large foreign gifts.¹9 The Secretaryrequires taxpayers to file a Form 3520, Annual Return To Report Transactions With Foreign Trusts and Receipt ofCertain Foreign Gifts, to report aggregate gifts over $100,000 from foreign individuals and estates and $10,000, as adjusted for inflation, ifthe gift purported
Generally, section 6039F requires taxpayers to report large foreign gifts.¹9 The Secretaryrequires taxpayers to file a Form 3520, Annual Return To Report Transactions With Foreign Trusts and Receipt ofCertain Foreign Gifts, to report aggregate gifts over $100,000 from foreign individuals and estates and $10,000, as adjusted for inflation, ifthe gift purported
Moreover, section 6039D(a) requires employers who maintain a "specified fringe benefit plan", to file a return each year listing certain relevant information.