E3 Lithium Ltd V.ETL

Chris announced

[LiAuAgScV]

-Insiders will only sell enough shares to pay the tax.
-Anytime options are exercised taxes are due IMMEDIATELY.
-Please know what You are talking about.

DYOc

[Wanderer1187]

From what I saw, he exercised 100k, conducted a post-exercise sale of 100k, and then sold another 108k. Pretty sure he could have paid the taxes out of the post-exercise sale alone

[PuerSimia]

Here's the math for Chris's E3 tax bill in 2023:   On the 10th of April Chris exercised 300,000 options at 0.40, and the acquired 300,000 common shares at a deemed price of $2.60/share, for a gain of $660,000   On the 9th of November Chris exercised 100,000 options at 0.70, and acquired 100,000 common shares at a deemed price of $2.83/share, for a gain of $213,000  

[Wanderer1187]

This is what Chris had to say on Twitter: The simple answer is that there were taxes due from the 300k options exercise in April that could not be sold due to unannounced information held at that time. More details in the Q3 financials. But it could also be that he'll be exercising even more options soon? Agreed with you though. He does have more shares, and I mean for a CEO of a

[PuerSimia]

Do you have a link to what he says? I'm not on Twitter, but I'd like to see what he says. TIA

[TheWokeLemming]

  Be sure to put your rubber boots on before you watch so that you don't get BS on your pants.  

[PuerSimia]

I'll reserve judgement until I see what he says, but I certainly understand everyone's frustration; myself included.

[Loughatorick]

I think that I can restore your faith in Chris. The fault is mine as I previously gave a simplified explanation of how employee stock options are taxed. Where the value of the benefit exceeds $ 200,000, the excess benefit is treated as regular employment income - so tax at 50% on income over $ 200,000.

[PuerSimia]

Thanks Loughatorick, major restoration of faith in Chris. I made the assumption that option gains were treated the same as capital gains. That makes a huge difference on the calculation of how much the tax bill is on that gain (re: the options are exercised but no shares are sold). I won't run through the numbers, as there are some variations in calculating the tax bill, based on several