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Why MNC employees with ESOPs are on taxman's radar

Why Not Mint Money

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The Importance of Selling Shares in India

Almost all the MNCs, while transferring these free of cost shares to the employees will sell a part of the shares. Usually 30% or about one third of these shares in the overseas market. And that amount will be received by the Indian subsidiary. That is how this tedious gets funded. Employee may not have enough cash in hand and also employer may not want to disturb the take home pay. Right. So the rationale for selling 30% shares is that basically it's equivalent to the tax lab of the employee who's getting the hardest use. Right.

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