The following Share Incentives Q&A provides comprehensive and up to date legal information covering:
An employee benefit trust (EBT) is a discretionary trust which means that it is a trust for a class of beneficiaries as opposed to individuals. As a discretionary trust, the trustee (usually following a request from the settlor) chooses which of the beneficiaries actually benefit. For further more general information on EBTs, see Practice Note: What is an employee benefit trust? For a copy of a precedent EBT deed, see Precedent: Employee Benefit Trust Deed.
Typically EBTs are set up to fall within the following statutory provisions:
the definition of a trust for the benefit of employees in section 86 of the Inheritance Tax Act 1984 (IHTA 1984). This provides exemptions from inheritance tax (IHT) for certain transactions involving qualifying EBTs. For further information, see Practice Note: Employee benefit trusts and inheritance tax considerations
the definition of an employees' share scheme in section 1166 of the Companies Act 2006 (CA 2006). This provides exemptions from certain company law requirements for arrangements which are employees' share schemes. For further information, see Practice Note: Corporate issues for share incentives, and
the definition of an employees’ share
Free trials are only available to individuals based in the UK
Complete all the fields above to proceed to the next step.
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Judicial review—time limits and the pre-action protocolWhen considering whether and how to bring a claim for judicial review, the first step is to consider whether judicial review is be an appropriate means of addressing the issues raised by the case at hand. For further guidance, see Practice Note:
Drafting—2009 ActThe Perpetuities and Accumulations Act 2009 effectively disapplies the rule against perpetuities from future easements granted on or after 6 April 2010, so a draftsman now need not be concerned to specify a perpetuity period. Any restrictions on the exercise of the easement
ECHR, art 5(4)—rights and dutiesThe scope of article 5(4) Article 5(4) of the European Convention of Human Rights (ECHR) provides that: 'Everyone who is deprived of his liberty by arrest or detention shall be entitled to take proceedings by which the lawfulness of his detention shall be decided
DateD [date]Parties1[name of Landlord] [of OR incorporated in England and Wales with company registration number [number] whose registered office is at] [address] (Landlord)2[name of Tenant] [of OR incorporated in England and Wales with company registration number [number] whose registered office
0330 161 1234