- 3 - After concessions,2 the issues remaining for decision are: 1. Whether petitioner’s rights in shares of stock acquired upon the exercise of incentive stock options (ISOs) in 2000 were subject to a substantial risk of forfeiture within the meaning of section 83(c)(3) and section 16(b) of the Securities Exchange Act of 1934)3 (the Exchange Act). We hold petitioner’s rights were not subject to a substantial risk of forfeiture. 2. Whether respondent properly determined that petitioner’s options exceeded the $100,000 annual limit imposed on ISOs under section 422(d). We hold respondent correctly applied section 422(d) in this case. 3. Whether petitioners may carry back capital losses to reduce the amount of their alternative minimum taxable income for 2000. We hold they may not. 4. Whether petitioners may carry back alternative tax net operating losses to reduce the amount of their alternative minimum taxable income for 2000. We hold they may not. 5. Whether petitioners are liable for an accuracy-related penalty under section 6662(b)(2) for 2000. We hold petitioners 2 The parties filed a stipulation of settled issues in which they agreed to the amounts of deductions petitioners are entitled to claim for charitable contributions made during 2000. 3 The Securities Exchange Act of 1934, ch. 404, sec. 16(b), 48 Stat. 896, codified at 15 U.S.C. sec. 78p(b) (2000). For convenience, all citations are to sections of the Securities Exchange Act of 1934.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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