As the private capital industry looks ahead to 2026, the UK and EU tax landscape is set to present both challenges and opportunities. Recent developments and ongoing policy initiatives will have a direct impact on deal...more
Significant and meaningful changes are coming in 2026 to the UK Enterprise Management Incentive (“EMI”) share option regime. The Chancellor of the Exchequer, announced that some of the limitations applying to EMI options will...more
UK Chancellor Rachel Reeves has announced that qualification criteria for enterprise management incentive (EMI) options will be “widened”. While legislation has not yet been published, HMRC published a Policy Paper late last...more
Tax-efficient UK Enterprise Management Incentive (EMI) options have for a long time been restricted to smaller “startup” companies. The UK Budget announced three key changes to the EMI regime, allowing larger companies to...more
The UK Government is reportedly considering increasing the individual limits for Enterprise Management Incentive (EMI) share options. Currently, individuals can hold options over a maximum of £250,000 of shares in any...more
The EU’s 12th and 13th “packages” of sanctions on Russia cancel a significant exemption, ban the provision of certain software systems, and impose multiple other measures. This Client Alert is published in the context of...more
Companies granting enterprise management incentive (EMI) options to their UK tax resident employees are reminded they must notify HM Revenue & Customs (HMRC) of the awards. Failure to do so means that the option is not EMI...more
From 6 April 2023, a couple of changes to the UK Enterprise Management Incentive (EMI) scheme and the Company Share Option Plan (CSOP) will take effect automatically. We’ve summarised and provided FAQs for these changes...more
On 15 March 2023, the Chancellor of the Exchequer delivered his Spring Budget, announcing a number of changes to tax measures and employee share schemes. Here are the key takeaways of particular relevance to our growth...more
Company share option plans (CSOP) and enterprise management incentives (EMI) are two statutory share option regimes that can be used to incentivise employees in a tax-efficient way. Broadly, where the relevant qualifying...more
HM Revenue and Customs (HMRC) has issued guidance on the inclusion and use of discretions awarded to directors in Enterprise Management Incentive (EMI) share option plans. While this is generally welcome, caution is still...more
Orrick's Founder Series offers monthly top tips for UK startups on key considerations at each stage of their lifecycle, from incorporating a company through to possible exit strategies. The Series is written by members of our...more
The UK has now been in lockdown, on and off, for the best part of a year. With the COVID-19 vaccination programme now in full swing in the UK, and hopefully with light at the end of tunnel, attention has inevitably turned to...more
EMI options are a form of option which benefit from very generous tax reliefs. The conditions relating to the company, the option holder and the option agreement are quite complex. Technical errors are, unfortunately,...more
This update sets out some important recent developments relating to the UK's Enterprise Management Incentive ("EMI") regime, which allows the grant of tax-advantaged options by smaller, high growth companies. In summary, the...more