Tax ABC 2024/2025, s A-3 provides detailed guidance on share acquisition by employee.
As a general rule, the benefit of an employee share award is valued as the difference between the market value of the share at the time of acquisition and the amount the employee may have paid for the share.
The benefit from employees' purchase of shares at a discount must be recognised as income in the year the shares are received and withholding must be applied on the benefit.
The gain on subsequent sale of shares is not generally treated as a benefit-in-kind, unless it can be shown that the gain arose due to the employment relationship.
Persons who are liable to tax as residents
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Web page updated on 17 Mar 2025 15:03