Who must use the formula value when selling stock?
If anyone else holds stock in the same or a similar class of stock, that individual must also use the formula value whenever he or she sells the stock to the company or to someone who owns more than 10% of the voting power of the stock. All of the foregoing restrictions must be permanent, except that the restrictions are lifted ...
Can a taxpayer sell stock to a prospective buyer?
However, a taxpayer may use this method only if certain very restrictive conditions are met. First , if the employee wishes to sell the stock, he or she must offer to sell it to the prospective buyer at the formula value. A party that buys the stock from the employee also must offer to sell it to a prospective buyer at the formula value.