Employee Incentives & Benefits April 2012


Important Deadline: UK Annual Share Plan Returns for 2011/2012

 

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Important Deadline:
UK Annual Share Plan Returns for 2011/2012

 

This alert is important if UK resident or ordinarily resident employees or directors have been granted options or share awards.

The UK annual share plan returns for the 2011/2012 tax year must be filed with HM Revenue & Customs ("HMRC") before 7 July 2012. Significant penalties can apply if the returns are not filed with HMRC in time.

Unapproved plans

HMRC requires that companies report the grant and exercise of unapproved securities options and the acquisition and disposal of other employment related securities and other reportable events on Form 42. Form 42 for the 2011/2012 tax year can be found via the following link:
www.hmrc.gov.uk/shareschemes/form42-2012.pdf

Guidance on completing Form 42 can also be found via the following link:
www.hmrc.gov.uk/shareschemes/form42-guidance-2007.pdf

HMRC approved plans

Each HMRC approved plan has a specific return form.

Enterprise Management Incentive Options (Form 40):
www.hmrc.gov.uk/shareschemes/emi40-2012.pdf

There is no requirement to report the grant of EMI options on Form 40.

Company Share Option Plans (Form 35):
www.hmrc.gov.uk/shareschemes/csop-form35-2012.pdf

Save as You Earn Plans (Form 34):
www.hmrc.gov.uk/shareschemes/form34-2012.pdf

Share Incentive Plan (Form 39):
www.hmrc.gov.uk/shareschemes/sip-form39-2012.pdf

Action Point
It is important that companies start collecting the information required in order to complete the relevant return(s) so that they are filed with HMRC in a timely and accurate way.

Forms must be filed with HMRC before 7 July 2012.

The Bird & Bird LLP Employee Incentives and Benefits team are available to give advice and assistance in completing the annual returns. Our team brochure can be viewed via this link.


Contact Us

 

Colin Kendon Partner colin.kendon@twobirds.com

+44 (0)207 905 6312

Fleur Benns

Senior European

Consultant

fleur.benns@twobirds.com +44 (0)207 415 6114
Catherine Ramsay Associate catherine.ramsay@twobirds.com +44 (0)207 415 6692

 


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