In this newsletter we look at the resurgence of EMI share option schemes and provide a general roundup of recent activity and other developments.
EMI Share Option Schemes
An enterprise management incentive share option (EMI option) is a tax advantageous employee share option granted by qualifying trading companies to selected employees (typically key employees and senior management).
Following the 2012 Budget, EMI options have seen a resurgence in popularity.
This is because the capital gains tax (CGT) payable on a capital gain made on the sale of shares acquired via an EMI option will now often qualify for Entrepreneur’s Relief (this reduces the effective rate of CGT to 10%).
Corporate Commercial Roundup
Following on from our last Commercial Write, where we gave a positive outlook for the current year and beyond, we have seen continued activity and remain just as confident, if not more, in our outlook.
We also take a look at the Chancellor’s proposal for a new “employee owner” status, changes to the regime relating to companies buying back their own shares and the proposed reform, simplification and consolidation of UK consumer law.