A ₹1 crore ESOP liability, caught before it crystallized

The situation

A startup's ESOP scheme had been administered without a clear model of the perquisite tax and valuation implications for employees at exercise, creating a latent liability estimated at roughly ₹1 crore across the pool.

The approach

The ESOP scheme was reviewed against current valuation and tax rules, the exercise and vesting mechanics were corrected, and a compliant administration process was put in place going forward.

The outcome

The exposure was identified and resolved before it crystallized into an employee-facing tax liability or a compliance finding.

A composite, anonymized account built from the kind of engagement Clairvoyis regularly handles, not a case-by-case record of a single named client.

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