# Income Tax (Earnings and Pensions) Act 2003, Section 527: Enterprise management incentives: qualifying options

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

(1) This Chapter provides—
(a) for share options notified to an officer of Revenue and Customs to be qualifying options for the purposes of the EMI code, and
(b) for exemptions and reliefs from income tax in connection with qualifying options.
(2) Schedule 5 contains the requirements that have to be met for a share option to be a qualifying option, together with the notification procedure.
(3) The provisions of—
(a) this and the following sections of this Chapter, and
(b) Schedule 5, ...
(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
together constitute “the EMI code”.
(4) In the EMI code—
“qualifying option” means a share option—
(a)in relation to which the requirements of Schedule 5 are met at the time when the option is granted, and
(b)which is notified to an officer of Revenue and Customs in accordance with Part 7 of that Schedule;
“replacement option” means an option within paragraph 41(4) of that Schedule (grant of replacement option in connection with company reorganisations);
“share option” means a right to acquire shares in a company;
and any reference to the requirements of Schedule 5 is to the requirements set out in paragraph 1(3) of that Schedule.
(5) Other expressions used in the EMI code and contained in the index at the end of Schedule 5 have the meaning indicated by the index.

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Source: https://www.legislation.gov.uk/ukpga/2003/1/section/527 (the official version)
Page: https://openlegislation.uk/income-tax-earnings-and-pensions-act-2003/section-527
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.