Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Come in, number 42

07 August 2012 / Kate Dowbiggin
Issue: 4365 / Categories: Comment & Analysis , Employees , Income Tax
A reminder from KATE DOWBIGGIN about how to decide whether a particular annual share scheme return form is required

KEY POINTS

  • A reminder of the form 42 obligations and penalties.
  • The transactions that need to be reported on the form.
  • The grant exercise or lapsing of unapproved shareholdings.
  • Defining a ‘readily convertible asset’.
  • Has an election been made under ITEPA 2003 s 431?

There has been a requirement for employers to file annual share scheme return forms 42 with HMRC since 2003/04.

These forms are for the disclosure of reportable events relating to unapproved share schemes and other employee equity issues.

However many employers are still unaware of or unclear regarding their legal requirements to disclose transactions in employment-related securities to HMRC.

There is a statutory obligation under ITEPA 2003 s 421J for employers to complete this form (even a nil return in certain...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

back to top icon