PASSED

The enacted ordinance amended Philadelphia’s wage and net profits tax rules for stock options. Stock options without a readily ascertainable market value when granted are excluded from taxable compensation, while options with such a value are taxed based on that value when granted; amounts from exercising, exchanging, selling, or otherwise disposing of stock options are not taxable under this chapter. These rules apply to options granted after the ordinance took effect and to options exercised, exchanged, sold, or otherwise disposed of on or after that date.

Amending Chapter 19-2800 of The Philadelphia Code, entitled "Pennsylvania Intergovernmental Cooperation Authority Tax on Wages And Net Profits," by exempting certain stock options from the tax, under certain terms and conditions.