# Income Tax (Earnings and Pensions) Act 2003, Section 521: ... CSOP schemes

Extent: E+W+S+N.I.

(1) This Chapter provides—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) for exemptions from income tax in connection with share options granted under CSOP schemes which are Schedule 4 CSOP schemes, and
(c) for amounts to count as employment income in certain circumstances in connection with such options.
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) The provisions of—
(a) this and the following sections of this Chapter,
(b) Schedule 4, and
(c) Part 3 of Schedule 7D to TCGA 1992 (Schedule 4 CSOP schemes: amount of consideration on exercise of option),
together constitute “the CSOP code”.
(4) In the CSOP code—
...
“CSOP scheme” means a scheme (commonly referred to as a company share option plan) which—
(a)is established by a company,
(b)provides for share options to be granted to employees and directors, and
(c)is not an SAYE option scheme (within the meaning of the SAYE code: see section 516(4));
“Schedule 4 CSOP scheme” is to be read in accordance with paragraph 1 and Part 7 of Schedule 4;
“share option” means a right to acquire shares in a company;
“shares” includes stock.
(5) Other expressions used in the CSOP code and contained in the index at the end of Schedule 4 have the meaning indicated by the index.

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Source: https://www.legislation.gov.uk/ukpga/2003/1/section/521 (the official version)
Page: https://openlegislation.uk/income-tax-earnings-and-pensions-act-2003/section-521
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.