Options Trading Tutorial

FBT deduction in US federal taxes?

I was given the stock options by my employer (a multinational company) long back when I was in India. I exercised my options last year just before changing my job. In addition to the tax that needs to be paid on the gain to the IRS, I also had to pay the Fringe Benefit Taxes to my employer (as per the law in India that in case options granted when you were in India, then even though the stock is not at all traded in India, the taxes as per certain calculations must be paid to Indian govt by employer who can pass this financial burden to employee). Does anyone know or has anyone got any experience with a similar situation? I really want to find out if there is a way I can offset what I paid as FBT to my employer (who will pay to the Indian govt), from the taxable income that I had in 2008? Time is running out for the tax filing deadline this year and so any comments/light on this topic would be appreciated !!! Regards, Ashish

Public Comments

1. 1040 Schedule A, foreign taxes paid. *maybe* form 1116.