Long-term incentive plans and deferred share bonus plans

View Share Incentives by content type:

Practice notes

Precedents

Q&As

News

Latest Share Incentives News

Spring Budget 2020—Tax analysis

The following Tax news provides comprehensive and up to date legal information on Spring Budget 2020—Tax analysis

Draft Finance Bill 2019–20—Tax analysis

The following Tax news provides comprehensive and up to date legal information on Draft Finance Bill 2019–20—Tax analysis

Spring Budget 2020—views from the market

The following Tax news provides comprehensive and up to date legal information on Spring Budget 2020—views from the market

Share Incentives weekly highlights—14 January 2021

The following Share Incentives news provides comprehensive and up to date legal information on Share Incentives weekly highlights—14 January 2021

Featured Share Incentives content

Directors’ remuneration

Company directors are not, by virtue only of their office as director, automatically entitled under company law to remuneration for services as a...

How CSOPs work and key features

This Practice Note covers the following topics in high level detail:•what are CSOPs?•the law governing CSOP options•the eligibility...

Unapproved share options

What are unapproved share options?Share options are rights to acquire shares which can be exercised when certain conditions have been met (such as the...

When is an SAYE scheme appropriate?

This Practice Note covers the following topics:•attractions of save as you earn (SAYE) schemes•can the company qualify to operate an SAYE...

Practice notes

Financial Conduct Authority—Principles for Businesses (PRIN)

This Practice Note explains the Principles for Businesses (PRIN) set down by the Financial Conduct Authority (FCA). The Principles form part of the...

9th Nov

Practice notes

Introduction to retained EU law

This Practice Note provides an introduction to retained EU law, which is an entirely new legal concept introduced to UK domestic law in preparation...

9th Nov

Brexit

Practice notes

FATCA in the UK—the UK:US Intergovernmental Agreement: an outline

Coronavirus (COVID-19): HMRC has stated in its International Manual that if a financial institution cannot meet the FATCA reporting deadline of 31 May...

Produced in partnership with Ali Kazimi and Chris Orchard of Hansuke Consulting Limited 12th Jan

In-house

Practice notes

Nil paid and partly paid shares—tax treatment

Overview of nil paid and partly paid sharesThe opportunity to subscribe for or purchase shares nil or partly paid has been and continues to be a...

Produced in partnership with Simon Adams of RSM UK Tax and Accounting Limited 12th Jan

Practice notes

The Quoted Companies Alliance (QCA) Corporate Governance Code

The Quoted Companies Alliance (QCA) is an independent membership organisation that champions the interests of small to mid-sized quoted companies. One...

9th Nov

Practice notes

Comparison of UK and US share incentive arrangements

Companies in both the US and the UK have a long history of involving employees in equity ownership, and both countries have provided tax breaks and...

Produced in partnership with Jonathan Fletcher Rogers of Addleshaw Goddard 12th Jan

Practice notes

Growth shares—practical examples and comparisons with options

What are growth shares?Growth shares, also known as value shares or hurdle shares, are a specially constituted class of shares which have restricted...

9th Nov

Practice notes

Long-term incentive plans—income tax and NICs treatment

Types of LTIP awardsThe most common type of awards that can be made under a long-term incentive plan (LTIP) include:•conditional share awards (which...

Produced in partnership with Jeremy Edwards of Baker McKenzie 12th Jan

Practice notes

Unapproved share options—tax treatment

Specific income tax rules (in sections 471–487 of the Income Tax (Earnings and Pensions) Act 2003 (Part 7, Chapter 5) (ITEPA 2003)) apply to...

9th Nov

Most recent Long-term incentive plans and deferred share bonus plans content

Practice notes

Structure of an LTIP

Types of awardsDifferent types of awards can be granted under a long-term incentive plan (LTIP) and more than one may be offered under the same...

Produced in partnership with Jeremy Edwards of Baker McKenzie 15th Jan

Practice notes

What is a long-term incentive plan?

A long-term incentive plan (LTIP) is a term that is commonly used among listed companies to describe executive share plans under which a company makes...

Produced in partnership with Jeremy Edwards of Baker McKenzie 15th Jan

Practice notes

Long-term incentive plans—income tax and NICs treatment

Types of LTIP awardsThe most common type of awards that can be made under a long-term incentive plan (LTIP) include:•conditional share awards (which...

Produced in partnership with Jeremy Edwards of Baker McKenzie 15th Jan

Practice notes

Long-term incentive plans—benefits and issues

A long-term incentive plan (LTIP) is a term that is commonly used among listed companies to describe executive share plans under which a company makes...

Produced in partnership with Gill Murdoch and Jeremy Edwards of Baker McKenzie 15th Jan

Practice notes

Long-term incentive plans—capital gains tax consequences

FORTHCOMING CHANGE: On 14 July 2020, the Office of Tax Simplification announced that it is conducting a review of capital gains tax (CGT), seeking...

Produced in partnership with Jeremy Edwards of Baker McKenzie 15th Jan

Practice notes

Comparison of UK and US share incentive arrangements

Companies in both the US and the UK have a long history of involving employees in equity ownership, and both countries have provided tax breaks and...

Produced in partnership with Jonathan Fletcher Rogers of Addleshaw Goddard 15th Jan

Practice notes

Deferred share bonus plans—listing rules and shareholder approval

IP COMPLETION DAY: 11pm (GMT) on 31 December 2020 marks the end of the Brexit transition/implementation period entered into following the UK’s...

Produced in partnership with Jeremy Glover of Fenwick Elliott 15th Jan

Precedents

Umbrella LTIP rules

PART ONE—GENERAL PROVISIONS1Definitions and interpretations1.1DefinitionsAnnual Bonus•means in respect of a particular Financial Year the annual bonus...

13th Jan

Precedents

Notice of exercise of option

The Company Secretary[insert date of letter][insert name of company who granted the option] (Company)[[insert address of company that granted the...

11th Jan

Practice notes

An introduction to deferred share bonus plans

Deferred share bonus: key elementsDeferred share bonus plans are typically constituted by the following key elements:•they are structured as...

Produced in partnership with Jeremy Glover of Fenwick Elliott 8th Jan

Precedents

Letter to be sent to LTIP award holders on a rights issue

[insert name of award holder][insert address][insert postcode][insert date]Dear [insert name of award holder],[insert name of plan] Long Term...

Produced in partnership with Karen Cooper of Cooper Cavendish 8th Jan

Precedents

LTIP — notice of exercise of option

The Company Secretary[insert date][insert name of company that granted the option] (Company)[[insert address of company that granted the option]]Form...

7th Jan

Precedents

LTIP—deed of grant

This Deed is entered into on [insert date on which the deed is executed] by [insert name of the company granting the Awards] whose registered office...

6th Jan

Precedents

Board minutes—approving the adoption of a LTIP and the grant of LTIP awards pursuant to it

[insert name of company adopting the LTIP] (Company)—[insert Company number]Minutes of a meeting of the [remuneration committee of the ] board of...

29th Nov

Precedents

LTIP—contingent award certificate

[insert name of company who granted the award pursuant to the long term incentive plan (LTIP)] (Company)[insert name of LTIP] (Plan)NameNumber of...

29th Nov

Precedents

Deed of renouncement of option

I, [insert full name of option holder], refer to the option over [insert number and class of shares under option] shares of £[insert nominal value of...

29th Nov

Precedents