SCHEDULES

SCHEDULE 13Employee share ownership trusts

Securities

6

1

Section 69 (chargeable events) shall be amended as follows.

2

In subsection (1)(c) (retention of securities at expiry of seven years from acquisition) for “period of seven years” there shall be substituted “qualifying period”.

3

After subsection (4) there shall be inserted—

4A

For the purposes of subsection (1)(c) above the qualifying period is—

a

seven years, in the case of trusts established on or before the day on which the Finance Act 1994 was passed;

b

twenty years, in the case of other trusts;

and for this purpose a trust is established when the deed under which it is established is executed.