329. Company Share Option Plan Schemes.

Where an option is granted under a Company Share Option Plan ('CSOP') scheme1, no income tax charge arises on the exercise of the option provided it is exercised not less than three nor more than 10 years after the grant2. However, if the value of the consideration given for the option plus the price payable under the option is less than the market value of the shares at that the time, the difference is taxable as share-related income in the year of grant3. Capital gains tax will apply on the disposal of the shares on the difference between the