Employment-Related Securities: The Complexity Unravelled Into Practical Application

The employment-related securities legislation contains essential tools for employee share scheme development and implementation. Far from limiting employee share scheme activity, a proper understanding of the employment-related securities legislation opens a vista of tax planning opportunities for practical application.  Building upon the meaning of the concept, “employment-related securities”, the webinar explains how to identify restricted securities and when to make Section 431 and Section 425 tax elections as well as how to identify convertible securities with an explanation of their tax treatment. Tax planning opportunities are also available through notional loan arrangements in accordance with Chapter 3C while a careful understanding of Chapter 3D charges is required to avoid tax traps and pitfalls on the sale of employee shares. The use of alphabet shares to differentiate reward is also dealt with by the employment-related securities legislation. Often overlooked is the use of employment-related securities legislation to enable a commercially effective and tax-efficient earn-out arrangement on a change of control.  Employee share schemes expert, David Craddock breaks down these complex concepts into understandable language, drawing upon his 35 years plus experience in employee share schemes and involvement with government committees at the time this highly influential legislation was developed and first implemented. Speakers:   David Craddock is an independent consultant specialising in employee share ownership and reward management. A recognised authority on the subject, he is the author of The Tolley’s Guide to Employee Share Schemes, along with many other essential books and courses.  David’s clients range from major public limited companies with international considerations to smaller private companies where the requirements are for Enterprise Management Incentives, tax-unapproved share scheme arrangements and market-making employee share trust structures. David has successfully established employee share schemes and employee benefit arrangements worldwide and to date has travelled to over 30 countries to personally facilitate their introduction. He enhances his service through a long experience in share reconstructions and share valuation.  David is a regular conference speaker for the Esop Centre and senior examiner for The ESOP Institute in London in relation to The Certificate in Employee Share Ownership Studies, the material for which he is author and principal authority.