Restricted Stock Units (RSUs) taxation
Are you beneficiary of RSUs ?
Ginkgo Wealth Management is able to assist you with matters related to their taxation.
Below, you will find some key insights into the tax treatment of these financial instruments.
Key dates and associated gains
1. GRANT OF SHARES
At the time of the grant, the beneficiary receives a promise to obtain a specified number of shares at a future date, subject to certain conditions, notably continued employment and performance criteria defined in the allocation plan. At this stage, the beneficiary does not yet own the shares.
2. VESTING
Upon completion of the vesting period, the beneficiary receives the shares free of charge, becoming their full owner with associated rights, including voting rights and dividends. This results in an acquisition gain equal to the value of the shares at the vesting date.
3. SALE OF SHARES
If the allocation plan includes a mandatory holding period, the shares can only be freely sold after this period. Upon sale, the beneficiary realizes a capital gain or loss compared to the acquisition value.
Taxation dates of gains
In France for qualifying plans, the taxable event occurs at the date of sale of the shares, triggering taxation on both the acquisition gain and any capital gain from the sale.
Importance of tax advice
RSU gains can represent a significant portion of your compensation and thus have substantial financial implications.
In cases of uncertainty or complexity, it is crucial to seek advice from a tax advisor experienced in these matters, who can address your specific situation and help you make informed decisions. Ginkgo Wealth Management is equipped to support you in this process.
