§ I also propose to reverse the previous Government's legislation on share option and incentive schemes. As we made clear when we were in opposition, we have always regarded the benefits to directors and employees under schemes of this kind as part of the pay for the job, and it follows that such benefits ought to be taxed in the same way as normal remuneration instead of being liable simply at capital gains tax rates. Legislation will therefore be included in the Finance Bill to impose full income tax liability on benefits from all share option and incen- 318 tive schemes, that is including the employee own-as-you-earn scheme as well as the so-called executive schemes. The legislation will have immediate effect and, in the case of share options, the charge will apply to all options exercised after today.