Income Tax (Earnings and Pensions) Act 2003 section 52-52A

Annual returns

Sections 52 and 52A set out the obligation on companies whose shares are subject to qualifying options to file annual returns with HMRC, including the reporting period, deadlines, content requirements, correction procedures, and the requirement for electronic submission.

• Companies whose shares are or have been subject to qualifying options must file an annual return with HMRC for each tax year falling within the qualifying option period, which runs from the date the first qualifying option is granted until the shares are no longer subject to, and will not again become subject to, qualifying options.
• Each return must contain the information HMRC requires — including information to determine the tax and capital gains tax liability of option holders — and must be submitted on or before 6 July following the end of the relevant tax year.
• If errors, omissions, or inaccuracies in a return come to the company's attention after submission, the company must provide HMRC with an amended return correcting the position without delay.
• Returns and accompanying information must be filed electronically in a manner prescribed by HMRC, although HMRC may permit an alternative method of submission where they consider it appropriate.