The annual returns for EMIs, SAYE Option Schemes, CSOPs, SIPs and Unapproved Schemes must be filed before 7 July 2012 in order to avoid penalties being imposed by HMRC.
Enterprise Management Incentives (‘EMI’) (Form EMI 40)
The EMI40 form contains details of adjustments of options, replacement of options due to company reorganisations, options lapsed, released or cancelled options, information relating to disqualifying events and taxable and non-taxable option exercises. This form must be filed with HMRC before 7 July 2012.
Save As You Earn (‘SAYE’) Option plan (Form 34).
Form 34 is used to report details of options granted and those exercised within 3 years of grant, along with summary information relating to the number of staff receiving option grants and/or exercising options, the number of shares issued or transferred and the total amount paid for shares. Form 34 must be filed with HMRC before 7 July 2012.
Company Share Option Plan (‘CSOP’) (Form 35)
Form 35 is used to report details of options granted and those exercised in a non-approved manner, along with information relating to the number of shares issued and/or transferred and the number of employees who exercised options. Form 35 must be filed with HMRC before 7 July 2012.
Share Incentive Plan (‘SIP’) (Form 39)
Form 39 is completed with details of awards of free and matching shares along with the acquisition of partnership and dividend shares. Also, information relating to shares ceasing to be subject to the SIP and shares forfeited (by leavers) must be reported on this form. Form 39 must be filed with HMRC before 7 July 2012.
Unapproved arrangements (Form 42)
Form 42 is used to report share-related events and transactions arising outside of an approved plan. However, certain transactions do not have to be reported on this form including shares in certain types of newly incorporated companies, transfers of shares in the normal course of family, domestic or personal relationships, shares in flat management companies, certain rights and bonus issues and shares acquired by employees independently. Form 42 must be filed with HMRC before 6 July 2012, unless the form was issued after 8 June, in which case it must be filed within 30 days of the date of issue.
In the event that a completed return is not filed by the relevant HMRC deadline or it is inaccurate, HMRC may impose penalties.