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83(b) election timing checker.

Enter your grant date and we’ll show your exact 30-day IRS deadline plus the projected tax impact of filing vs. not filing on restricted stock or early-exercised options. The 30-day window is jurisdictional, miss it and the election is gone.

  • Exact deadline date and days remaining
  • Tax projection: with 83(b) vs. without, at an assumed exit value
  • Filing-mechanics primer (where to file, how to prove timeliness)
  • Optional emailed PDF with your scenario and the deadline
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Inputs & results

Restricted stock and early-exercised options. The math is the same: lock in ordinary income now, capital gains on the appreciation later.

Grant facts
For restricted stock, the date of issuance. For early-exercised options, the date of exercise.
$
$
For restricted stock at grant (no cost), use 0. For early-exercised options, the strike price.
Exit assumption (optional)
$
Used only for the projection table. Leave at $0 if you only need the deadline.
%
%
Deadline
—

Enter the grant date to compute the 30-day window.

Spread at grant
FMV at grant (total)
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Cost paid (total)
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Spread (ordinary income if 83(b) filed)
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Projection at exit
ScenarioOrdinary income taxCapital gains taxTotal tax
With 83(b) filed — — —
Without 83(b) — — —
Projected savings from filing
—

Projection assumes all shares are held more than one year past the grant date before sale, satisfying long-term capital gains treatment.

Optional · Save the scenario
Email me the 83(b) timing report as a PDF.

We’ll send a one-pager with your deadline, the tax projection, and the filing-mechanics checklist (where to mail, what to include, how to prove timeliness).

We’ll send the PDF and occasional corporate-records tips. Unsubscribe any time. We don’t share your email.

How 83(b) works

Lock in today’s value as the tax basis, or pay later at vesting.

An 83(b) election tells the IRS to treat unvested stock as if it had fully vested on the date it was transferred. Future appreciation becomes capital gains, not ordinary compensation income.

1
Property is transferred

Restricted stock issuance, or an early exercise of an option grant. The 30-day clock starts the day after the transfer.

2
File within 30 days

Mail the election to the IRS office where you file your return, plus a copy to your employer. Certified mail with return receipt is the standard practice.

3
Pay ordinary income now on the spread

The difference between the FMV at transfer and your purchase price is ordinary income in the year of transfer.

4
Capital gains at exit

When the stock eventually sells, the gain over the FMV at transfer is long-term capital gain (assuming you’ve held the shares for more than one year).

Why timing matters

The IRS does not extend the 30-day window. Ever.

Treasury Regulations § 1.83-2(b) is unambiguous: an election must be made “not later than 30 days after the date of such transfer.” The IRS has no statutory authority to grant late elections, and no “substantial compliance” doctrine applies. Founders who miss the window typically discover the cost only at vesting, when the company has grown and the spread between FMV at vest and the original purchase price has become enormous.

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FAQ

Common questions

Anyone receiving restricted stock subject to vesting, or anyone exercising unvested options (an “early exercise”). If the stock is fully vested at the time of receipt, no election is needed because there’s no future vesting event to trigger ordinary income later. Founder common stock subject to a 4-year vesting cliff is the classic case.

Common at company formation when founders pay FMV (e.g., $0.0001/share at incorporation). The election still must be filed within 30 days to lock in the $0 ordinary income event, otherwise, future vests are taxed at the much higher FMV at vest, with no offsetting basis from the election.

Mail one copy of the election to the IRS office where you file your annual income tax return. Send a second copy to your employer. Keep a third copy for your records. Some practitioners also attach a copy to the year’s tax return, though the IRS no longer formally requires that.

Your name, address, and TIN; a description of the property (number of shares, class, corporation name, date of transfer); the FMV at transfer and the amount paid; a statement that you’re making the election under § 83(b); and your signature. Most law firms have a one-page template.

The election is lost. You will be taxed as compensation income on the spread between FMV at each vest and your original cost basis, at ordinary rates. The only mitigation is to model that liability now and plan cash flow for it, speak with a CPA familiar with founder equity taxation.

Incentive stock options at exercise typically don’t require an 83(b) because ISOs have their own statutory tax framework (AMT considerations apply, but no ordinary income on exercise of fully-vested ISOs). The 83(b) is most often used for restricted stock and for early-exercised NSOs or ISOs where the shares received are unvested.
Related concepts

The 83(b) sits inside the broader founder-equity tax map.

83(b) election
The election itself, defined
Stock options
ISOs, NSOs, early exercise
Vesting cliff
The trigger 83(b) defuses
QSBS
Holding-period interaction with 83(b)
Section 1244 stock
Ordinary loss treatment on failed startups
QSBS Exclusion Calculator
Model § 1202 exit math
Cap Table Dilution Calculator
See the share count behind your election
Corporate Records Health Check
Verify your grant is properly documented
Full glossary
Equity, tax, and records terms
An 83(b) is the cheapest tax planning move a founder makes.

It also lives or dies on documentation. Octelligence keeps grants, vests, and the corporate record in one place so the 83(b) ties cleanly to the issuance.

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