Paragraph 13

United Kingdom

(1)

The plan must provide that an individual may only participate in an award of shares if—

(a)

in the case of free shares, he is eligible to participate in the award at the time it is made, and

(b)

in the case of partnership or matching shares—

(i)

if there is no accumulation period, he is eligible to participate in the award at the time the partnership share money relating to the award is deducted, and

(ii)

if there is an accumulation period, he is eligible to participate in the award at the time of the first deduction of partnership share money relating to the award.

(2)

For the purposes of sub-paragraph (1), in the case of an award of matching shares the deduction of partnership share money “relating” to the award is the deduction relating to the award of partnership shares to which the matching shares relate.

(3)

An individual is eligible to participate in an award of shares under the plan if and only if—

(a)

the requirements of the plan are met as to—

(i)

employment (see paragraph 14),

(ii)

no material interest (see paragraph 15), and

(iii)

not participating in other schemes (see paragraph 16), and

(b)

in a case where the individual is not within paragraph 8(1) (employees who must be invited to participate in the award), any further eligibility requirements of the plan are met.

Notes on Schedule 8

Textual amendments

F1: Sch. 8 repealed (with effect in accordance with s. 723(1)(a)(b) of the amending Act) by Income Tax (Earnings and Pensions) Act 2003 (c. 1), Sch. 8 Pt. 1 (with Sch. 7)