Status Tracking & Reminders For 83(b) Election On Eqvista

Have you tracked the status and sent reminders to shareholders to sign the 83(B) Election?

The new 83(B) Election feature allows shareholders to pay their taxes on total FMV (Fair Market Value) on restricted securities (including stock options) at the grant issuance date. It also applies to early exercised options, common and preferred shares subject to vesting. 

Note: The 83(B) Election feature is only available for premium account holders. Kindly upgrade your account to unlock this feature. 

After generating the form and sending it to the shareholder, you can check the status of the form.

Here are the steps to follow:

Step 1: Log into your Eqvista account and select the company account. 

On the dashboard, click on “Compliance” on the left-hand side to get a drop-down menu and click on “Form 83(B)”.

Step 2: Here you will see a description of Form 83(B) along with an option to create a form. Then, click on the button “Status Tracker” on the right-hand side of the page.

Note: To track the status of  83(B) Election, you must first create a form. Check out the respective support article to learn how to create 83(B) using the Pre-Filled and Shareholder-Fill Out form option on Eqvista. 

Step 3: 

STATUS TRACKING

Then, you will be redirected to the next page where you can track the status of the created 83(B) Election.

Note: You can also create a form from this page by clicking the “Create Form” button.

The “Status” of each form created can be one of the following:- 

• Incomplete: The status indicates that the 83(B) form has been sent to the shareholder’s account, but they haven’t signed the form and uploaded a copy, or taken any required actions yet. It signifies that the submission process is still pending.
• Completed: When the shareholder has signed the form and successfully uploaded a copy. The status confirms that the shareholder has completed the necessary steps for submitting the 83(B) form. 
• Skipped: When the shareholder decides to skip submitting the form altogether. In such instances, the status indicates that the shareholder has chosen not to proceed with the submission. 
• Deadline Missed: If the 83b form has been sent to the shareholder, but they haven’t responded within the submission deadline. The status indicates that the shareholder failed to meet the submission deadline, and further actions may be required to address the situation.

When the shareholder has signed the form and the status is marked “Complete”, you can view the signed form by clicking “View” as shown below.

Note: You can also view the form by clicking the “View” button when the status is “Skipped” and “Deadline Missed”.

Once you click “View”, you will be redirected to the 83(B) election form.

Note: You can download the form by clicking “Download 83(B)” on the top-right side of the page.

SENDING REMINDERS

As soon as the 83(B) form is created, two types of reminder emails are sent to the shareholder requesting to sign the form.

Type 1 – Already Have Shareholder Account: This is an example of the email shareholders should expect with the subject “Complete your 83(B) Election”.

Type 2 – Do Not Have Shareholder Account: Here is an example of the email shareholders would receive with the subject “You were invited to Eqvista”.

Let’s assume you want to send a reminder to the shareholder again to sign the form. To do this, click “Send Reminder” on the right-hand side as shown below. You can also click “Send all Reminders” to send reminders to all shareholders.

Once you click “Send Reminder”, two types of reminder emails are sent to the shareholder requesting to sign the form.

Type 1 – Already Have Shareholder Account: This is a sample of the email shareholders should expect with the subject “Final Reminder: 83(B) Election due in 2 days”.

Type 2 – Do Not Have Shareholder Account: Here is a sample of the email shareholders would receive with the subject “Final Reminder: 83(B) Election due in 25 days”.

Then, the shareholder needs to sign the form and send it to the IRS within 30 days of grant issuance. Check out the support article to know how to sign the form. 

For more information on Eqvista’s processes, check out our support articles or contact us today!