Part 7Employment income: income and exemptions relating to securities

F1Chapter 3ASecurities with artificially depressed market value

Tax charge on acquisition

446DRestricted securities and convertible securities

(1)

Where the employment-related securities are restricted securities or a restricted interest in securities, FMV (but not MV) is to be determined as if the employment-related securities were not restricted securities or a restricted interest in securities; and, accordingly, sections 426 to 431 (post-acquisition charges on restricted securities) do not apply to the employment-related securities.

(2)

Where the employment-related securities are convertible securities or an interest in convertible securities, FMV and MV are to be determined as if they were not.