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HMRC internal manual

Employment Related Securities Manual

From
HM Revenue & Customs
Updated
, see all updates

Convertible securities: PAYE/NIC

PAYE and NIC is operable

  • for chargeable events arising before 1/9/2003, by virtue of ITEPA03/S699 as originally enacted (see EIM11870); and
  • for chargeable events arising after 1/9/2003, by virtue of ITEPA03/S698(1)(b) (see EIM12230/NIM06828)

where either

  • the securities acquired on conversion are readily convertible assets (RCAs), or
  • the consideration or benefit is cash or a RCA.

See ITEPA03/S702 for definition of RCA.