Permanent Subcommittee on Investigations

Executive Stock Options: Should the IRS and Stockholders Be Given Different Information?

Date: June 5, 2007
Time: 9:00am
Location: Room 342, Dirksen Senate Office Building
Agenda:

The Permanent Subcommittee on Investigations held a hearing entitled, “Executive Stock Options: Should the IRS and Stockholders Be Given Different Information?” examining the role of stock options in executive compensation; the incidence of stock option abuses; how stock option compensation is reported to stockholders under generally accepted accounting principles versus how the same compensation is reported to the IRS under federal tax rules; the origins, nature, and extent of the resulting book-tax difference; and the policy reasons for continuing or ending the stock option book-tax difference.

Witnesses

Panel 1

STEPHEN F.

BOLLENBACH

Chairman of the Board of Directors

KB Home

Panel 1

JOHN S.

CHALSTY

Chairman, Compensation Committee

Occidental Petroleum Corporation

Panel 1

WILLIAM Y.

TAUSCHER

Member & Former Chairman, Compensation Committee

Safeway, Inc.

Panel 2

KEVIN M.

BROWN

Acting Commissioner

Internal Revenue Service

Panel 2

JOHN W.

WHITE

Director, Division of Corporation Finance

Securities and Exchange Commission

Panel 3

LYNN E.

TURNER

Former SEC Chief Accountant

Panel 3

MIHIR A.

DESAI

Arthur M. Rock Center for Entrepreneurship Associate Professor

Harvard University, Graduate School of Business Administration

Panel 3

JEFF

MAHONEY

General Counsel

Council of Institutional Investors

Related Links

Printed Hearing Record