The Australian Government has announced that it is looking to change the tax rules relating to employee stock plans. In 2009, the Government at that time legislated up-front tax payments for stock options (with tax being payable upon vesting rather than exercise) resulting in the potential for the payment of before shares could be sold to fund the tax liability. This triggered a significant decline in stock option grants in Australia. The current Government is looking to reverse the 2009 tax policy. The changes are expected to become effective as of July 1, 2015. The Government’s announcement is available here.