Updated HMRC guidance on end of year return templates and using the ERS service, and changes to CSOP schemes to come into effect

Updated HMRC guidance on end of year return templates HMRC has announced in Employment Related Securities Bulletin 47 that it will be introducing some changes to Employment Related Securities (ERS) annual filings templates from 6 April 2023. Under the new ERS templates, completion of the following optional fields will become mandatory for returns submitted on … Read more

Autumn Statement highlights – lowering of additional income tax rate threshold, reduction in CGT and dividend income tax allowances

Following on from the reversal of much of the mini-budget on 17 October, in today’s Autumn Statement the Chancellor announced a number of measures which are relevant to remuneration and incentives. In particular there will be a reduction to the threshold at which the 45% additional rate of income tax applies, the freezing of other … Read more

Updated HMRC guidance on EMI options and s.431 elections

As highlighted in ERS Bulletin 46, HMRC has published updated guidance in the Employee Tax Advantaged User Manual on enterprise management incentives (EMI) options which should clarify how EMI option plans should be drafted and operated. ERS Bulletin 46 also refers to the updated guidance published by HMRC in July 2022 on section 431 elections.  … Read more

Revisions to the mini-budget of 23 September 2022

The new Chancellor, Jeremy Hunt, today announced a number of revisions to proposals put forward in the mini-budget of 23 September 2022. The key changes relevant to remuneration and incentives are: the income tax basic rate will remain at 20% until economic conditions allow for it to be cut; as already announced, the 45% income … Read more

Updates to CSOP schemes and SAYE bonus rate mechanism

Changes to the CSOP scheme The government is introducing two changes to the Company Share Option Plan (CSOP) scheme, effective from 6 April 2023, announced as part of the government’s ‘mini budget’ last week: the maximum value of options that can be awarded to each employee under a CSOP scheme will double from £30,000 per … Read more

SAYE bonus rate mechanism review and new savings prospectus

HMRC has announced in the HMRC Employment Related Securities Bulletin 43 published on 16 June 2022 that it is reviewing the mechanism used to calculate SAYE option scheme bonus rates with a view to simplifying the way in which bonus rates are calculated.  As noted by HMRC in Bulletin 43, “the current mechanism is extremely … Read more

Spring Statement 2022

In his Spring Statement yesterday, the Chancellor, Rishi Sunak, made two announcements relating to share plans. The Chancellor announced that the review of enterprise management incentives (EMI) options (originally announced in 2020) had concluded that the EMI scheme remains “effective and appropriately targeted”. It was also announced that the scope of the review will be … Read more