Income Tax (Earnings and Pensions) Act 2003 Schedule 3 paragraph 8

No preferential treatment for directors and senior employees

Schedule 3 paragraph 8 requires that a SAYE option scheme operated by a company belonging to a group must not disproportionately benefit directors or the highest-paid employees within that group.

• Where the scheme organiser belongs to a group of companies, the scheme must not confer benefits wholly or mainly on directors of companies in the group
• The scheme must also not confer benefits wholly or mainly on employees who receive the higher or highest levels of remuneration within the group
• This requirement applies both to the current effect of the scheme and to its likely future effect
• A group of companies is defined as a company together with any other companies over which it has control