Let’s Talk Tax – Enterprise Management Incentive (EMI) Share Options

Enterprise Management Incentive Share Options - Would you like to reward staff without any cash outlay and make a Corporation Tax saving at the same time?

Did you know that EMI options are a flexible and tax efficient way of providing employees with equity incentives? 

EMI’s are tax advantaged share options. They are aimed to help companies recruit and retain employees by offering the employee a share option in the company. Most commonly, options can only be exercised in the event that the company is sold or floated.

The employer will offer the employee shares at a fixed sum. Upon sale of the shares the employee retains the profit, subject to Capital Gains Tax at 10% where Entrepreneurs Relief is applied. The employer can deduct the employees profit from their charges liable to Corporation Tax. Neither, the employee or employer are liable NIC on the benefit.

Download the fact sheet to learn more.