Anavex Life Sciences Corp (AVXL)

[Steady_T]

Missling is likely to buy and hold his options to make them qualify as long term cap gains.

His options are likely classified as Incentive Stock Options which are taxed when the shares are sold.

ISO
ISOs are usually seen as more advantageous for the employee because the exercise date isn’t a taxable event. Even though higher-earning employees have to make an alternative minimum tax, or AMT, adjustment based on the difference between the current market price and the exercise price.

Instead, you settle up with the IRS when you actually sell your shares down the road. If you’ve held the stock for more than a year, you’ll incur the long-term capital gains tax on the difference between the exercise price and the eventual sale price.