Chapter 01
The 30-day clock
The election must be postmarked within 30 days of the grant date of restricted stock. Miss it and you are taxed on the spread at every vesting date instead of once at grant.
Chapter 02
Why founders outside the US miss it
No taxpayer identification number at grant, an assumption that counsel handles the filing, and international post with no tracking.
Chapter 03
How to file correctly
Prepare the election letter with your details, the grant date, the number of shares, the fair market value, and the amount paid.
Mail it to the IRS service centre for your address by USPS Certified Mail with return receipt, keep the receipt, and give a copy to the company.
Chapter 04
After filing
Attach a copy to your first US tax return, store the proof in the corporate records, and log it on the cap table against the grant.
What should you remember?
30 days from grant. No extension, no retroactive relief.
You can file without an SSN by using an ITIN or applying for one.
The proof of mailing matters as much as the election itself.