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Retirement Planning
Chapter 12: Deferred Compensation & Equity Compensation/ECONOMIC BENEFIT DOCTRINE
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Chapter 12: Deferred Compensation & Equity Compensation

ECONOMIC BENEFIT DOCTRINE

01.Core Concepts

• An employee will be taxed on funds or property set aside for the employee if the funds or property are unrestricted and nonforfeitable. • In other words, if there is constructive receipt or no substantial risk of forfeiture the employee will currently have taxable income.