IRS Form 3922, Transfer of Stock Acquired Through an Employee Stock Purchase Plan Under Section 423(c), is a form a taxpayer receives if they have exercised an option under an employee stock purchase plan (ESPP) and on the date the option was granted the exercise price was less than 100% of the value of the stock, or was not fixed or could not be determined. The form is required to be furnished to a taxpayer by January 31 of the year following the year of first transfer of the stock acquired through the ESPP.
The form is for informational purposes only; no income is recognized by exercising an option under an ESPP.
The taxpayer needs to retain the form, however, as it will be needed to calculate the gain or loss when the stock is sold or otherwise disposed of.
Additional Information: