Qualified employee stock option (KPO)

What is a qualified employee stock option?

A qualified employee stock option (Swedish: kvalificerad personaloption, KPO) is an employee stock option that meets special requirements in tax law concerning the company, the employee and the option terms. If the requirements are met, no benefit taxation arises when the option is exercised. Instead, tax is paid as a capital gain when the shares are sold.

KPOs and the share ledger

The options often follow a vesting schedule within an incentive program. Shares received on exercise must be entered in the share ledger. Current requirements are available from Skatteverket.