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To restricted stock and restricted stock units (RSUs) that are performance-based compensation under 162(m)(4)(C) of the Internal Revenue Code must separately satisfy the requirements under 162(m)(4)(C) to be treated as performance-based compensation. FACTS Corporation X and Corporation Y are publicly held corporations within the meaning of 162(m)(2). Both corporations maintain plans under which participating employees may be granted restricted common stock of the respective corporation.
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