The European Commission granted EU state aid approval for the continuance of the UK’s Enterprise Management Incentive (EMI) scheme on 15 May 2018.
Anyone who has been holding off granting EMI options pending confirmation that the previous approval (which expired on 6 April 2018) would continue, can now go ahead and grant EMI options which (provided all the relevant conditions are satisfied) should still carry significant tax advantages.
HMRC are still to confirm whether or not EMI options granted between 6 April and 15 May 2018 will qualify for tax favourable treatment, but given the language of the EU statement we anticipate that this should be the case.
EU approval will apply until the earlier of the UK’s withdrawal from the UK (subject to the provisions of the withdrawal agreement) and 6 April 2023.
If you would like further information on this, or in relation to EMI options more generally, please contact Emma Bailey.