What does ISO's grant date represent?

The ISOs will be granted to you by the company on this date. On this day, you are granted the right to purchase company stock at a predetermined price (exercise price) for a set period of time. There are no taxes to pay on this date.

What does ISO's experimental practice date imply?

When you choose to exercise your ISOs, you make the decision to buy company stock at the exercise price. The act of exercising your options results in a tax event, and the tax consequences vary depending on the duration of your ownership of the shares.

What is the selling date for incentive stock options?

The date when you sell the shares you acquired by exercising your ISOs is known as the sales date. The tax treatment of the sale depends on the holding period: if you hold the shares for at least one year after exercising and two years after the grant date, the profit is taxed as a long-term capital gain. In the event that it doesn't, it will be taxed as a regular income.