SCHEDULES

SCHEDULE 2... share incentive plans

Part 9Trustees

Duty to make payments to participants

74

(1)

The trust instrument must require the trustees to pay over to a participant as soon as practicable—

(a)

any money received by them in respect of, or by reference to, any of the participant’s shares, or

(b)

any money’s worth so received unless it consists of new shares within the meaning of paragraph 87 (company reconstructions).

(2)

Sub-paragraph (1) is subject to—

(a)

paragraphs 62 to 69 (cash dividends and dividend shares),

(b)

the trustees' obligations under sections 510 to 514 (PAYE: shares ceasing to be subject to plan; capital receipts), and

(c)

the trustees' PAYE obligations.