Taxation of Chargeable Gains Act 1992 Schedule 5C paragraph 1

Application of Schedule

Schedule 5C paragraph 1 establishes when the special rules in this Schedule apply, which is where an employee or director holds shares acquired through an employee share ownership trust arrangement and certain conditions relating to chargeable events are met.

• The Schedule applies where shares were acquired by an individual in circumstances where relief was available under the employee share ownership trust provisions.
• A chargeable event occurs in relation to those shares, triggering a potential clawback of the relief originally given.
• The provisions were amended by Finance Act 2004 to align with changes to pension and share scheme legislation.
• The Schedule sets the framework for determining when and how gains deferred under employee share ownership trust arrangements are brought back into charge.

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