Corporation Tax Act 2009

1027Relief available on death of employee

This section has no associated Explanatory Notes

(1)This section applies in relation to relief available as a result of the employee’s death.

(2)The relief is given for the accounting period in which the employee dies.

(3)The amount of relief is equal to the amount that would have counted as employment income of the employee under section 426 of ITEPA 2003 had a chargeable event within section 427(3)(c) of that Act occurred immediately before Chapter 2 of Part 7 of that Act ceased to apply to the restricted shares because of the employee’s death.

(4)For the purposes of subsection (3)—

(a)the amount of expenses resulting from section 428(6) of ITEPA 2003 is to be treated as nil, and

(b)the following are to be ignored—

(i)sections 428(9) and 446E(6) of ITEPA 2003, and

(ii)the amount of any non-commercial increase (as defined in section 446K(4) of ITEPA 2003) in the market value of the restricted shares after their acquisition.