The current business climate, increasing employment taxes and lower company valuations have resulted in equity incentives becoming an effective tool for employers (from early stage companies to globally recognised names) to incentivise and retain employees.
The grant of share options and the award of shares can prove to be useful drivers for growth by protecting cash flow and aligning the interests of employees with that of business owners.
This firm's corporate tax team is developing an impressive reputation for its employee share scheme practice
Our tax team advises on the design and implementation of the full range of equity incentive arrangements. This could range from tax favoured share option schemes (whether executive or 'all employee' arrangements) to bespoke methods for private companies of placing shares in the hands of employees. Our clients range from owner managed businesses to publically listed companies.
Our lawyers have extensive experience of achieving our clients’ commercial objectives by ensuring that the chosen strategy delivers the key requirements of incentivising and retaining key staff members (whilst encouraging the attainment of performance goals) in the most tax (and cost) efficient way possible.
We regularly advise on the complex tax rules that apply to ‘employment related securities’ and entitlement to Entrepreneurs’ Relief on capital gains. We pride ourselves on being able to explain the various tax charges under the legislation in a way that is clear and readily understood by clients.
We also advise on the implications of corporate transactions on pre-existing share scheme arrangements along with providing specialist assistance in relation to stock incentives on the termination of the employment of senior executives.