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LSDefine

Simple English definitions for legal terms

blockage rule

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A quick definition of blockage rule:

Blockage Rule: The blockage rule is a tax principle that states that a large group of stock shares may be worth less than the total value of individual shares because it may be hard to sell all of them at once for their full price. This means that if someone owns a lot of shares in a company, they may not be able to sell them all at once without lowering the price, which can affect the overall value of the shares.

A more thorough explanation:

The blockage rule is a principle in taxation that states that a large block of stock shares may be valued at less than the total value of the individual shares. This is because such a large block may be difficult to sell at full price.

For example, let's say that an individual owns 10% of a company's stock, which is worth $1 million in total. However, if that individual were to try to sell all of their shares at once, they may have difficulty finding a buyer willing to pay the full $1 million. Therefore, the blockage rule allows for the value of the shares to be adjusted to reflect the difficulty in selling such a large block.

The blockage rule is important in determining the fair market value of large blocks of stock for tax purposes. It recognizes that the value of a large block of stock may be different from the value of the same number of individual shares, due to the difficulty in finding a buyer for such a large block.

blockade | block-booking

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19:43
@Dkk: yeah register 1 website and every swinging tom dick and harry calls/emails/texts to 'help with seo'. like bruh, if YOU found it, what i am doing is working
Dkk
19:43
Indeed!
19:48
wasp, i think people are hopeful for a gov who at least attempts to care about the common man
MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
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