As per present Income-tax provisions, taxability of ESOPs occurs at two stages. Firstly, at the time of allotment of shares and thereafter, at the time of sale of the shares. Thereafter, when employees sell the shares, gains from such sale is taxable as capital gains in the hands of the employees. The government may consider moving towards taxing ESOPs at one stage i.e. at the time of sale of shares, and doing away with taxation at the stage of allotment of shares. The government may also extend the deferral of tax payment on perquisite to all private companies instead of restricting the relief to eligible start-ups.