The deadline for filing the 2018-19 share schemes annual returns is 6 July 2019. This applies to any new share schemes established, or any “reportable events” which have occurred under existing share schemes, in the 2018-19 tax year. If you have already registered a share scheme, even if no events have taken place, you will still need to file a “nil return” for the year.
Penalties will apply for late filing, so we suggest submitting your return as soon as possible – HMRC will not be sending out reminders.
How do I file my return?
You will need to register your scheme (if you have not done so already) through HMRC’s PAYE Online Services Portal. HMRC’s reporting templates and guidance are available here. Only one annual return needs to be filed for each scheme, so for group companies, only one company within the group needs to submit a return, even if employees from multiple companies are participating in a scheme.
What do I need to report?
“Reportable events” include:
- Acquisition of shares, or interests in shares, by an employee
- Grant of options to an employee
- Exercise of share options by an employee
- Receipt of a benefit in money or money’s worth in relation to an employee share option
- Assignment or release for consideration of an employee share option
- The falling away of restrictions attaching to shares held by an employee
- The disposal for consideration of restricted securities by an employee
- Other events which give rise to a tax charge in relation to employment-related securities
This is not an exhaustive list and you should take advice if you are not certain whether an event is reportable.
Tax-advantaged share schemes
Events which take place in relation to a qualifying EMI, SIP, CSOP or SAYE scheme should also be reported online to HMRC. However, each of these schemes has its own form of online annual return which should be filed separately.
New tax-advantaged schemes will also need to be registered with HMRC before an annual return can be filed – this may take up to a week to process, so you should make sure to register well before the deadline.