SCHEDULES

SCHEDULE 2Tax advantaged employee share schemes

PART 2“Good leavers” (other than retirees)

SAYE option schemes

24

1

Paragraph 37 (exercise of options: company events) is amended as follows.

2

After sub-paragraph (3) insert—

3A

In sub-paragraph (3)(a) the reference to the issued ordinary share capital of the company does not include any capital already held by the person making the offer or a person connected with that person and in sub-paragraph (3)(b) the reference to the shares in the company does not include any shares already held by the person making the offer or a person connected with that person.

3B

For the purposes of sub-paragraph (3)(a) and (b) it does not matter if the general offer is made to different shareholders by different means.

3

A SAYE option scheme approved before the day on which this Act is passed which contains provision under paragraph 37(1) of Schedule 3 to ITEPA 2003 by reference to paragraph 37(2) has effect with any modifications needed to reflect the amendment made by sub-paragraph (2).

4

In sub-paragraph (4) for the words from “proposed” to the end substitute

applicable to or affecting—

a

all the ordinary share capital of the company or all the shares of the same class as the shares to which the option relates, or

b

all the shares, or all the shares of that same class, which are held by a class of shareholders identified otherwise than by reference to their employment or directorships or their participation in an approved SAYE option scheme.

5

A SAYE option scheme approved before the day on which this Act is passed which contains provision under paragraph 37(1) of Schedule 3 to ITEPA 2003 by reference to paragraph 37(4) has effect with any modifications needed to reflect the amendment made by sub-paragraph (4).

6

In sub-paragraph (6)—

a

after “982” insert “ or 983 to 985 ”, and

b

after “shareholder” insert “ etc ”.

7

A SAYE option scheme approved before the day on which this Act is passed which contains provision under paragraph 37(6) of Schedule 3 to ITEPA 2003 has effect with any modifications needed to reflect the amendments made by sub-paragraph (6).