Not ordinarily resident employees: UK taxation of share incentives

Resource type: Practice note

Status: Maintained

Jurisdiction: United Kingdom

This practice note deals with aspects of the UK tax treatment of employment-related securities and securities options acquired after 5 April 2008 by employees and directors who are UK resident, but not ordinarily resident (R/NOR). It also deals briefly with those who are UK resident and ordinarily resident (R/OR), but not domiciled in the UK.

From Royal Assent of Finance Act 2013, the concept of ordinary residence will be abolished and a statutory residence test will come into force (see Practice note, Statutory residence test for individuals). We are currently reviewing this practice note in the light of this forthcoming development.

PLC Share Schemes & Incentives

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Resource ID: 7-380-8717
Products: PLC UK Employment, PLC UK Law Department, PLC UK Private Client, PLC UK Public Sector, PLC UK Share Schemes & Incentives, PLC UK Tax
This resource is maintained, meaning that we monitor developments on a regular basis and update it as soon as possible.

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Topics

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Practice notes

Apportionment of securities and option income for R/NOR employees Apportionment of securities and option income for R/NOR employees (http://uk.practicallaw.com/topic7-382-9480)
Remittance of securities and options income to the UK and the treatment of UK shares Remittance of securities and options income to the UK and the treatment of UK shares (http://uk.practicallaw.com/topic7-382-7749)
Remittance of securities income by R/NOR taxpayers: NICs liabilities and apportionment of securities income Remittance of securities income by R/NOR taxpayers: NICs liabilities and apportionment of securities income (http://uk.practicallaw.com/topic0-383-0081)
Restricted securities Restricted securities (http://uk.practicallaw.com/topic3-364-2007)

Legal update: archive

"Ask the Team": The new tax regime for expatriate employees' share options "Ask the Team": The new tax regime for expatriate employees' share options (http://uk.practicallaw.com/topic5-383-3911)
"Ask the Team": The new tax regime for expatriate employees' share options where an OECD-style DTA applies "Ask the Team": The new tax regime for expatriate employees' share options where an OECD-style DTA applies (http://uk.practicallaw.com/topic9-383-4466)
"Ask the Team": The new tax regime for expatriate employees' share options: Just and reasonable override of statutory UK/foreign split for share option tax "Ask the Team": The new tax regime for expatriate employees' share options: Just and reasonable override of statutory UK/foreign split for share option tax (http://uk.practicallaw.com/topic2-383-4177)
"Ask the Team": The new tax rules for expatriate share incentives - what about performance share plans? "Ask the Team": The new tax rules for expatriate share incentives - what about performance share plans? (http://uk.practicallaw.com/topic5-383-8697)
"Non-dom" reforms: restricted securities elections by NOR taxpayers who acquire securities before Finance Bill 2008 is enacted "Non-dom" reforms: restricted securities elections by NOR taxpayers who acquire securities before Finance Bill 2008 is enacted (http://uk.practicallaw.com/topic9-381-2054)
"Non-dom" reforms: Systemic share incentive tax advantage for non-UK companies over UK companies "Non-dom" reforms: Systemic share incentive tax advantage for non-UK companies over UK companies (http://uk.practicallaw.com/topic8-382-3166)
Finance Bill 2008 amended: Employees who are not ordinarily resident will now NOT need to be included in SAYE and SIP offers BUT rules still need review Finance Bill 2008 amended: Employees who are not ordinarily resident will now NOT need to be included in SAYE and SIP offers BUT rules still need review (http://uk.practicallaw.com/topic9-382-1195)
Finance Bill 2008: "Non-dom" reforms - government amendments affecting employee shares and share incentives Finance Bill 2008: "Non-dom" reforms - government amendments affecting employee shares and share incentives (http://uk.practicallaw.com/topic0-382-1784)
Finance Bill 2008: Government to review potential disadvantages to UK companies from automatic remittance of UK shares Finance Bill 2008: Government to review potential disadvantages to UK companies from automatic remittance of UK shares (http://uk.practicallaw.com/topic3-382-5243)
HMRC announcement about ESC A11: Split-year treatment and tax on employment-related securities and securities options HMRC announcement about ESC A11: Split-year treatment and tax on employment-related securities and securities options (http://uk.practicallaw.com/topic6-382-4299)
HMRC guidance on impact of "non-dom" reforms on securities and options taxation HMRC guidance on impact of "non-dom" reforms on securities and options taxation (http://uk.practicallaw.com/topic9-382-7630)

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