Enterprise Management Incentive Schemes - Tax Implications & More

Introduction

The Enterprise Management Incentive (EMI) is the most popular approved scheme out of the four available approved share schemes. It allows employees to participate in the ownership of a company with the benefit of favourable tax treatment.

Whilst subject to stringent conditions both for the company and the employees, the scheme is very flexible and can be used for any number of employees.

What You Will Learn

This live and interactive session will cover the following:

• Option to acquire shares v straight acquisition
• What does an approved scheme mean?
• Approved v unapproved scheme
• Statutory conditions for a valid EMI scheme
• Excluded activities
• Procedure for setting the exercise price and share valuation
• Tax implications for the company and employees
• Examples of different scenarios that impact on tax implications
• NICs implications
• Business Asset Disposal Relief (previously Entrepreneur’s Relief)
• Restricted securities issues
• Section 431 election
• EMI in practice from start to grant of options
• Disqualifying events
• Common pitfalls
• Notifications of options

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.