Enterprise Management Incentives (EMI)
For owner managed businesses, the EMI scheme is without doubt the most widely used and most advantageous share scheme available.
Whilst similar in some ways to Company Share Option Plans (CSOPs); for example, employees with more than 30% of the share capital cannot participate, it has a number of valuable additional advantages, such as:
- The option can be exercised at any time within a 10 year period without triggering an income tax charge (CSOPs have to exercised at least 3 years after grant to obtain the same treatment)
- The limit for the maximum value of options (at the time of grant) that can be granted is much higher at £250,000.
- There is no need to own at least 5% of the shares to qualify for Entrepreneurs Relief
EMI schemes are therefore an excellent way to retain and incentivise staff in a tax efficient manner.
Call us today if you would like to discuss who you could use an EMI scheme to access your company’s potential.
- Running a home office – can you claim on expenses?
- Are you Starting a New Business Venture?
- VAT on Residential Property Projects
- Key points and changes from the Autumn 2017 Budget
- Top Five Often Forgotten Business Tax Deductions
- £1 Million Tax Free on Death – Fact or Fiction?
- Date changes for ‘Making Tax Digital’
- What now for ISA savings?
- The state shovels in your coffers
- VAT on property – The Capital Goods Scheme