by Robin Hartley | 23 Mar 2018 | EMI technical
Tax advantages of EMI options There is no income tax or National Insurance contributions charged on the grant of a qualifying EMI option. If an EMI option is exercised within ten years of the date of grant and there has been no disqualifying event, there will be no...
by Robin Hartley | 23 Mar 2018 | EMI technical
Types of shares that may be acquired The option must be a right to acquire shares that are part of the ordinary share capital of the company, and: are fully paid up, and not redeemable. Ordinary share capital is defined in section 989 Income Tax Act 2007 and in...
by Robin Hartley | 23 Mar 2018 | EMI technical
Employment requirement Individuals are only eligible for EMI options if they are employees of the company whose shares are the subject of the options, or, in the case of a group, employees of any qualifying subsidiary of that company. Directors are classed as...
by Robin Hartley | 23 Mar 2018 | EMI technical
Introduction In order for a company to qualify for EMI, it has to meet certain conditions. These are: Independence Having only qualifying subsidiaries Gross assets Number of employees, and Trading activities. Independence requirement To be a qualifying company for...
by Robin Hartley | 23 Mar 2018 | EMI technical
Purpose of granting options In order for an option to be a qualifying option, it must be granted for genuine commercial reasons, to recruit or retain an employee in a company. An option does not qualify if it is granted as part of a scheme or arrangement the main...
