[stomachmonkey]

Asking for a friend.

Let's say they signed onto a project for 6 months and in partial exchange for time spent on said project they were issued a big chunk of shares.

Assume after the initial restriction period they cashed in a bunch.

The positions were a grant so did not cost friend anything out of pocket but since they were partial payment in kind for work performed could one reasonably and legally use the dollar value of time invested, what friend would have billed, as the cost basis for the shares.

This is mostly a question as to taxes, as in, the increased cost basis results in lower earned income.

Edit, or is the cost basis still the price per share when granted.