Enterprise Management Incentive (EMI) share options are intended to help companies retain valued employees and to reward the employees for investing their time and skills in helping the company to grow.
Essentially, qualifying companies can set up an EMI scheme whereby options can be granted over shares to qualifying employees worth up to £250,000 without giving rise to an income tax or NIC charge. They also allow the employee to purchase shares in the company for a discounted value, though there are tax consequences to this.
The next question is, what are the benefits to employers? And what are the tax benefits to your employees. Well, if you’d like to read more, here is a link to a short document which I hope you find useful EMI Share Ownership.
As ever, if you have any questions please don’t hesitate to contact Michael Burgess on 01782 279615.