7 December 2000 Internal T.I. 2000-0023207 F - OPTIONS D'ACHAT D'ACTIONS -- summary under Paragraph 7(3)(b)

Regarding stock option agreements that allow an employee to receive a cash payment rather than shares, the Directorate confirmed its position (as per IT-113R4, para. 11 that s. 7(3)(b) does not prevent an employer from deducting the amounts paid since no shares were sold or issued under the agreement.