Natalie Smith and Sue El Hachmi discuss how rights under employees’ share schemes can be affected by different demerger structures
As explained in 'Using demergers' (Tax Journal 24th May 2010) by our colleagues Michael Bell and Clara Howard there are a number of reasons why companies may consider demerging in this current economic climate. There are also several different structures which may be used to achieve the desired result. While the choice of structure will primarily be driven by commercial or corporate tax considerations implications for employees' share schemes participants will need to be addressed. Some employees' share awards may make them shareholders — for example entitlements under an HMRC approved Share Incentive Plan or awards of shares subject to restrictions partly paid or deferred shares. In these cases employees would expect to participate on the same terms as other shareholders. Shares may...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
Natalie Smith and Sue El Hachmi discuss how rights under employees’ share schemes can be affected by different demerger structures
As explained in 'Using demergers' (Tax Journal 24th May 2010) by our colleagues Michael Bell and Clara Howard there are a number of reasons why companies may consider demerging in this current economic climate. There are also several different structures which may be used to achieve the desired result. While the choice of structure will primarily be driven by commercial or corporate tax considerations implications for employees' share schemes participants will need to be addressed. Some employees' share awards may make them shareholders — for example entitlements under an HMRC approved Share Incentive Plan or awards of shares subject to restrictions partly paid or deferred shares. In these cases employees would expect to participate on the same terms as other shareholders. Shares may...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
