Source: All England Reporter
Publisher Citation: [2013] All ER (D) 52 (Jun)
Neutral Citation: [2013] UKFTT 242 (TC)
Court: First-tier Tribunal (Tax Chamber)

Judge Jill Gort and Mr D Williams

Representation The taxpayer appeared in person.
  The Revenue and Customs Commissioners appeared by its presenting officer.
Judgment Dates: 18 April 2013


Income tax - Option - Option to purchase shares - Termination payment - Taxpayer paying £30,000 to company for option under enterprise management incentive scheme - Taxpayer leaving employment and reaching compromise agreement with company - Company paying £75,700 including £30,000 option fee to taxpayer - Revenue and Customs Commissioners (Revenue) assessing taxpayer to income tax of £12,000 - Revenue reducing tax to £11,628 on review - Taxpayer appealing to First-tier Tribunal (Tax Chamber) - Whether payment of £75,700 including repayment of £30,000 option payment - .

The Case

Income tax Option. The First-tier Tribunal (Tax Chamber) allowed the appeal of a taxpayer who had claimed that 30,000 of a 75,700 payment he had received from his former employer had been the return of the sum paid by him to purchase an option under an enterprise management incentive scheme and should therefore not be taxable.

Practice Areas

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