Tax laws for stock options need changing, says tech industryAt a minimum, clarification is requiredBy 08/01/2001|hrreporter.com|Last Updated: 09/04/2003 The Canadian Advanced Technology Alliance (CATA) will consult shortly with the Canada Customs and Revenue Agency (CCRA) and the Department of Finance in an attempt to change the tax laws governing stock options. The subject is of particular interest to the technology industry because it often uses stock options to attract, motivate and retain key employees. Stock options allow workers to purchase shares in their employer’s company at a set price. Now when employees exercise stock options, they pay tax on the difference between the set price and the price when the option is exercised. For example, an employee may have an option to purchase a share at $100. When he or she actually buys the share, it’s worth $300. The employee pays tax on the $200 difference. To Read the Full Story, Subscribe or Sign In Remember Me Forgot Password If you are a current Subscriber, please click here to set-up or update your login information.