Income Tax (Earnings and Pensions) Act 2003 Schedule 3 paragraph 26

Repayments under a savings arrangement: whether bonuses included

Paragraph 26 of Schedule 3 deals with whether repayments under a certified SAYE savings arrangement include a bonus, and when that determination must be made.

• Repayments under a certified SAYE savings arrangement may be taken as either including or not including a bonus.
• Where a bonus is included, it may be the maximum bonus available under the arrangement or a lesser amount.
• The SAYE option scheme must require the bonus question to be determined at the time share options are granted.
• This ensures clarity for participants from the outset regarding the value of their savings repayments.