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0 pointspathseeker5y ago0 comments

I've heard this before, but what advantage does the loan have? Doesn't the CEO still pay just as much tax when he/she sells the stock to pay down the loan? Is it just to allow the stock a chance to appreciate?

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2 comments · 2 top-level

toomuchtodo5y ago

It's to capture future possible growth and defer taxes into the future.

benmller3135y ago

I'd guess just savings on paying capital gains tax vs income tax?

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