UK Share Plan Filings due by 6 July 2017
The HMRC submission deadline for the annual filing of returns in relation to employment-related securities for the 2016/17 tax year is midnight on 6 July 2017.
You may wish to alert your clients to this deadline. We have summarised details of the filing obligation below, which you are welcome to adapt to alert them to the deadline.
How can we help?
We provide advice and assistance in relation to all aspects of the annual reporting requirements and are happy to help your clients. Either you can be our client or we can have a direct relationship with your client. Either way, as usual, we will not act for them on any other matters or market to them without your permission. For further information please contact Alasdair Friend, Partner (Compensation & Benefits), on +44 203 051 5711, or email us at email@example.com.
UK SHARE PLAN FILINGS: SUMMARY FOR YOUR CLIENTS
What needs to be done and by when?
What are the filing requirements?
What are the risks?
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Scope of the reporting requirements
The ERS reporting requirements apply to any share options, shares and other types of security that are acquired by UK employees by reason of their employment. It can therefore apply to share options and other kinds of share incentives that are granted by non-UK companies to UK based employees. Reporting may also be required in respect of non-UK resident employees who carry out work duties in the UK.
Each ERS plan or arrangement should be registered online, however non-tax advantaged plans or arrangements do not need to be registered until there is a reportable event.
Self-certification of UK tax advantaged plans
Companies that operate tax advantaged ERS plans, such as Share Incentive Plans (SIPs), Savings Related Share option plans (SAYE) and Company Share Option Plans (CSOPs) must self-certify online that the plan complies with the relevant statutory code. The company secretary (or the employer on their behalf) should complete an online form declaring certain requirements have been met at the date of registration or from when the first option or award was granted.
Online filing of annual returns
An online return must be completed for each registered ERS plan or arrangement by 6 July following the end of the tax year. The returns will contain details of any share options that have been granted and exercised, as well as any other reportable events in relation to employment-related securities.
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