Schedule 3 SAYE option schemes: Shares to which schemes can apply: Introduction
Paragraph 17 imposes requirements on which shares can be used in Schedule 3 SAYE option schemes.
The relevant requirements concerning the shares which can be used (‘scheme shares’) are then set out in paragraphs 18- 20 and 22 * of Schedule 3.
The legislation aims to ensure that the scheme shares which participants will acquire under a tax advantaged share scheme are:
- normal shares on normal terms (paragraphs 20 and 22),
- in a company:
- with which their employment can be identified (paragraph 18), and
that offers little scope for manipulating the value of the shares (paragraph 19).
- Paragraph 21 was repealed by Schedule 2 to the Finance Act 2013 in relation to share options granted on or after 17 July 2013.