MICHAELSEN v. TAX COMMN.


67 N.Y.2d 579 (1986)

In the Matter of James A. Michaelsen et al., Respondents, v. New York State Tax Commission, Appellant.

Court of Appeals of the State of New York.

Decided July 8, 1986.


Attorney(s) appearing for the Case

Robert Abrams, Attorney-General (Wayne L. Benjamin, Robert Hermann and Peter H. Schiff of counsel), for appellant.

Arnold Y. Kapiloff for respondents.

Chief Judge WACHTLER and Judges MEYER, KAYE, ALEXANDER, TITONE and HANCOCK, JR., concur.


SIMONS, J.

In this article 78 proceeding challenging a State income tax assessment, the issue presented is the proper treatment to be afforded to a nonresident who exercises stock options granted to him as a form of compensation by his New York employer and who later disposes of the stock acquired pursuant to those options. We agree with the position now taken by the Tax Commission that the taxable gain is the...

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