Income Tax (Earnings and Pensions) Act 2003 section 427

Chargeable events

Section 427 defines the specific events that trigger a tax charge under section 426 when employment-related securities are subject to restrictions.

• A chargeable event occurs when employment-related securities cease to be restricted, provided an associated person retains beneficial entitlement afterwards
• A chargeable event also occurs when any restriction on the securities is removed or varied, even if the securities remain restricted overall
• A disposal of restricted securities for consideration by an associated person to a non-associated person is also a chargeable event
• Any removal or variation of a restriction relating to the securities counts as a "variation of a restriction" for the purposes of this chapter