In March 2012, the Office of Tax Simplification made various recommendations to the Government in relation to the simplification of approved (tax-advantaged) employee share schemes. HMRC conducted a consultation process on its response to these recommendations over the summer of 2012, and has also consulted on draft legislation on the implementation of some of the recommendations. The Finance Bill 2013, published on 28 March, contains draft legislation, in what is likely to be close to final form, for the changes to be implemented by legislation this year.

This update summarises these changes, and considers the impact they will have on the operation of approved share schemes. Generally, the changes should make the operation of schemes easier, and extend the circumstances in which tax relief is available.
Downloads –