Alan Pink considers corporation tax relief for share acquisitions by employees and points out situations where its availability can easily be missed.
The introduction of corporation tax relief for companies when employees of the company acquire shares was much trumpeted at the time, but on the face of it one might wonder why this specific relief was so important, or even necessary.
Shares from the company
Surely, it might have been thought, when a company hands over shares to an employee this is like the provision of any other benefit-in-kind, where the company’s cost is in the profit and loss account, and therefore generally claimable on basic principles, because it is an expense incurred ‘wholly and exclusively’ for the purpose of the company’s business?
This superficial view disregards the different nature
