SAVINGS-RELATED SHARE OPTION SCHEMES (Hansard, 10 July 1973)

HC Deb 10 July 1973 vol 859 cc1472-4 1472

§ Application of Part III

§ 21. This Part of this Schedule applies to any share option scheme under which—

(a) directors and employees pay for the shares acquired by them in pursuance of rights obtained under the scheme out of repayments made to them under a certified contractual savings scheme within the meaning of section 415 of the Taxes Act; and
(b) subject to paragraph 22 below, the rights obtained under the share option scheme are not capable of being exercised earlier than at the time when repayments under the certified contractual savings scheme are due.

§ 22. A right obtained by a director or employee under the share option scheme may he capable of being exercised earlier than mentioned in paragraph 21(b) above if he ceases to hold the office or employment by virtue of which he is eligible to participate in the scheme—

(a) not earlier than three years after obtaining the right, or
(b) by reason of injury, disability, redundancy or death.

§ 23. For the purposes of paragraph 21 above—

(a) repayment under a certified contractual savings scheme may be taken as including or as not including a bonus or interest; and
(b) the time when repayment is due shall be, where repayment is taken as including the maximum bonus, the earliest time at which the maximum bonus is payable and, in any other case, the earliest time at which a bonus is payable under the scheme;

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§ and the question what is to be taken as so included must be required to be determined at the time when rights under the share option scheme are obtained.

§ 24. In relation to a scheme to which this Part of this Schedule applies the principal Schedule shall have effect subject to the following provisions of this Part of this Schedule and section 78 of the Finance Act 1972 shall have effect as if subsections (2) and (3) thereof were omitted.

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