Paragraph 1

United Kingdom

(1)

In this Schedule a “qualifying option” means an option—

(a)

in relation to which the requirements of this Schedule are met at the time the option is granted, and

(b)

of which notice is given to the Inland Revenue in accordance with paragraph 2.

(2)

The requirements of this Schedule are—

(a)

the general requirements in Part II of this Schedule,

(b)

that the company whose shares are the subject of the option is a qualifying company (see Part III of this Schedule),

(c)

that the individual to whom the option is granted is an eligible employee in relation to that company (see Part IV of this Schedule),

(d)

that the option is granted to the employee by reason of his employment—

(i)

with that company, or

(ii)

if that company is a parent company, with that company or another group company, and

(e)

the requirements of Part V of this Schedule as to the terms of the option, the circumstances in which it is granted and other matters.

(3)

In this Schedule, in relation to an option—

(a)

references to “the relevant company" are to the company whose shares are the subject of the option, and

(b)

references to “the employer company" are to the company by reference to which the requirement in sub-paragraph (2)(d) is met.

Notes on Schedule 14

F1: Sch. 14 repealed (with effect in accordance with s. 723(1)(a)(b) of the amending Act) by Income Tax (Earnings and Pensions) Act 2003 (c. 1), Sch. 8 Pt. 1 (with Sch. 7)