deferred shares

[Guest rrkluchki]

When deferred shares are repurchased by the company from a recently terminated employee, is that money taxable for the employee for federal withholding & FICA?

[A Shot in the Dark]

What sort of retirement plan are speaking about.

Is it an ESOP?

Is it a qualified retirement plan?

Is it a non-qualified plan?

[Guest rrkluchki]

The Deferred Shares were awarded to our managers & above when our company underwent a change in ownership this summer. The shares are to be repurchased by the company if the employee terminates. Nothing was taxed prior to this. They're considering recording the payout on a 1099, but I'm concerned it should be taxed and recorded on the W2. We're not a huge compnay, any apparently not very sophisitcated, because the term non-qualified plan has never come up and I'm having a hard time researching based on the limited info I've been provided.