HC Deb 27 January 2003 vol 398 cc615-6W
Mr. Heald

To ask the Chancellor of the Exchequer (1) whether periods of service as an armed forces reservist count as periods of continued employment in a taxpayer's main job for the purposes of the favourable tax treatment given to the share option scheme called Enterprise Management Incentive; and if he will make a statement; [93345]

(2) whether favourable tax treatment available to taxpayers in continued employment is lost to them during periods of service as an armed forces reservist; and if he will make a statement. [93344]

Dawn Primarolo

The Enterprise Management Incentive rules dealing with employees' working time do not cater specifically for periods of service by armed forces reservists. Normally this will not cause difficulty in determining an employee's eligibility to the tax advantages available under Enterprise Management Incentives. However, I will be asking my officials to consider whether any issues may arise.

I am not aware of other instances where favourable tax treatment will in practice be lost, but if the hon. Gentleman has any particular case in mind perhaps he will write to me.

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