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Paragraph 61

United Kingdom

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

(1)

This paragraph applies where in the case of a company reorganisation—

(a)

the holder of a qualifying option, by agreement with the acquiring company, releases his rights under that option (“the old option”) in consideration of the grant to him of rights (“the new option”) which are equivalent but relate to shares in the acquiring company, and

(b)

the requirements of the following paragraphs are met—

paragraph 62 (period within which replacement option must be granted), and

paragraph 63 (qualifying requirements for replacement option).

(2)

Where this paragraph applies, the new option shall be treated for the purposes of this Schedule as a “replacement option”.

(3)

Except as otherwise provided—

(a)

references in this Schedule to a qualifying option include a replacement option, and

(b)

a replacement option is treated for the purposes of this Schedule as if it had been granted on the date on which the old option was granted.

(4)

In this Schedule references to “the old option” or “the new option” shall be construed in accordance with this paragraph.

Notes on Schedule 14

Textual amendments

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Sch. 14 repealed (with effect in accordance with s. 723(1)(a)(b) of the amending Act) by Income Tax (Earnings and Pensions) Act 2003 (c. 1), Sch. 8 Pt. 1 (with Sch. 7)