Mark Zuckerberg Facing $2 Billion Tax Bill For Facebook Stock Option Purchase

Posted on February 10, 2012

CNN reports that Facebook founder Mark Zuckerberg may be facing a $2 billion tax bill in connection with the company's IPO. CNN reports that the IPO filings indicate that Zuckerberg will be exercising his options on 120 million shares of stock at six cents a share. The stock is now valued at $30 a share. He'll be deemed to have received ordinary income of around $5 billion, hence the $2 billion tax bill. Zuckerberg doesn't have $2 billion in cash lying around -- his wealth is in stock. Presumably a bank or financier is lending him the cash to do the deal. Take a look: