Part 11

Relief for particular employee share acquisition schemes
Chapter 1

Share incentive plans

Deductions relating to setting up and running costs

Deductions for running expenses of a Schedule 2 share incentive plan
988
1
This section applies if a company incurs expenses in contributing to the expenses of the trustees in running a Schedule 2 share incentive plan.
2
This Chapter does not affect the deductions that, apart from this Chapter, are allowed to the company in relation to those expenses incurred by it.
3
For the purposes of this section expenses of the trustees in running a Schedule 2 share incentive plan do not include expenses incurred in acquiring shares for the purposes of the plan other than expenses within subsection (4).
4
The expenses within this subsection are—
a
interest paid on money borrowed by the trustees for the purpose of acquiring the shares, and
b
any of the following—
i
fees,
ii
commission,
iii
stamp duty,
iv
stamp duty reserve tax, and
v
other incidental costs similar to any mentioned in sub-paragraphs (i) to (iv).
Words in s. 988(1) substituted (6.4.2014) by Finance Act 2014 (c. 26), Sch. 8 paras. 77(3), 89 (with Sch. 8 paras. 90-96)
Words in s. 988(3) substituted (6.4.2014) by Finance Act 2014 (c. 26), Sch. 8 paras. 77(3), 89 (with Sch. 8 paras. 90-96)
Pt. 11 applied by 2010 c. 8, s. 425(1) (as inserted (with effect in accordance with Sch. 5 para. 25(1)-(3) of the amending Act) by Finance (No. 2) Act 2017 (c. 32), Sch. 5 para. 1 (with Sch. 5 paras. 27, 32-34))
Words in s. 988 heading substituted (6.4.2014) by Finance Act 2014 (c. 26), Sch. 8 paras. 77(2), 89 (with Sch. 8 paras. 90-96)