SCHEDULES
SCHEDULE 7Transitionals and savings
Part 7Employment income: F1income related to securities
Enterprise management incentives
82
1
This paragraph relates to the operation of section 541(2) (effects on tax charges where shares cease to be conditional only or are converted) in relation to an FA 2000 option which was exercised before 6th April 2003.
2
The references to a qualifying option include an FA 2000 option which was so exercised; but in relation to such an option sub-paragraph (3) applies instead of section 541(3).
3
For the purposes of section 541(2) “the amount of relief on the exercise of the option” means the difference between—
a
the amount on which tax would have been chargeable under section 135 of ICTA (charge on exercise etc. of option) in respect of the exercise of the option apart from Schedule 14 to FA 2000 (enterprise management incentives), and
b
the amount (if any) in fact so chargeable in accordance with that Schedule.
4
In this paragraph an “FA 2000 option” means a qualifying option for the purposes of Schedule 14 to FA 2000.
Words in Sch. 7 Pt. 7 heading substituted (10.7.2003) by Finance Act 2003 (c. 14), Sch. 22 para. 46(4)