§ 42-64.11-4. Partial modification of performance-based compensation.
(a) Fifty percent (50%) of the performance-based compensation realized by an eligible employee in any credit year shall be allowed as a modification decreasing adjusted gross income and alternative minimum income for purposes of the personal income tax.
(b) The modification provided under subsection (a) shall be taken into account in determining withholding under § 44-30-71 to be deducted by a fully-certified company with respect to performance-based compensation paid to eligible employees.
(c) The amount of income, otherwise qualifying as performance-based compensation, derived from employer granted stock options is subject to the fifty percent (50%) modification provided for in subsection (a) only to the extent that the same amount is subject to tax under § 42-64.11-5.
(P.L. 2005, ch. 53, § 1; P.L. 2005, ch. 54, § 1.)