Part 7F1Employment income: income and exemptions relating to securities
Chapter 6Approved share incentive plans
Tax advantages connected with shares ceasing to be subject to plan
497Limitations on charges on shares ceasing to be subject to plan
1
No liability to income tax arises on free or matching shares ceasing to be subject to the plan, except as provided by—
a
section 505 (charge on free or matching shares ceasing to be subject to plan), or
b
section 507 (charge on disposal of beneficial interest during holding period).
2
No liability to income tax arises on partnership shares ceasing to be subject to the plan, except as provided by section 506 (charge on partnership shares ceasing to be subject to plan).
3
No liability to income tax arises on dividend shares ceasing to be subject to the plan, except F2under Chapter 3 or 4 of Part 4 of ITTOIA 2005 (dividends etc. from UK or non-UK resident companies etc.) as a result of section 394(2) or 407(2) of that Act (distribution or dividend payment when dividend shares cease to be subject to plan).
Pt. 7 heading substituted (with effect in accordance with Sch. 22 para. 2(2) of the amending Act) by Finance Act 2003 (c. 14), Sch. 22 para. 2(1)