35(1)The plan must provide that the initial market value of the free shares awarded to a participant in a tax year is not to exceed £3,000.U.K.
(2)The “initial market value” of shares means their market value on the date on which they are awarded.
[F1(3)For the purposes of this paragraph the market value of restricted shares is to be determined as if they were not.
(4)Shares are “restricted shares” if there is any contract, agreement, arrangement or condition which makes provision to which any of subsections (2) to (4) of section 423 (restricted securities) would apply if the references in those subsections to the employment-related securities were to the shares.]
Textual Amendments
F1Sch. 2 para. 35(3)(4) substituted (1.9.2003) by Finance Act 2003 (c. 14), Sch. 22 para. 43(1)(2); S.I. 2003/1997, art. 2