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1. Begin by gathering all the necessary information required to complete the form. This may include details such as the taxpayer's name, social security number, and employer information.
2. Review the instructions provided with the form to ensure you understand each section and the information required to be filled in.
3. Start by filling in the taxpayer's personal details, such as their name, address, and social security number, in the designated fields on the form.
4. Move on to the employer information section and provide the necessary details, such as the employer's name, address, and employer identification number.
5. Proceed to the section that requires reporting the exercise of incentive stock options. Enter the relevant details, such as the date of exercise, the fair market value of the stock, and the exercise price per share.
6. Fill in any additional information required, such as the acquisition date of the stock and the disposition date if applicable.
7. Double-check all the information you have entered to ensure its accuracy. Any errors or mistakes could lead to discrepancies with the IRS records.
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