Deadline alert: file your ERS annual return with HMRC by 6th July 2025.
Who needs to file: all companies with employee share schemes, including both HMRC tax-advantaged (EMI, CSOP, SIP, SAYE) and non-tax-advantaged schemes.
What to report:
- Reportable events: new share options, adjustments, releases, lapses, cancellations, and exercises.
- Issued shares: any shares issued to employees must also be reported.
EMI notifications: don’t forget, any outstanding EMI notifications for options granted during the 2024/2025 tax year are also due by 6th July 2025.
Nil returns: even if no reportable events occurred, you must file a nil return to avoid penalties.
Penalties: late filings start at £100, increasing to £300 if not filed within 9 months, with daily penalties possible thereafter.
Need help? The Employee Incentives Team at Birketts can assist with filing or any related queries.
A time for reflection?
This is a good time to reflect on the effectiveness of your existing share scheme, including whether it remains fit for purpose and is aligned with the current strategies of the business.
Key questions to pose:
- Are participants motivated?
- Are exercise targets attainable?
- Are the exercise/performance conditions realistic?
- Do terms align with company strategies?
For more information or assistance, contact the Employee Incentives Team at Birketts.
Key Contacts
The content of this article is for general information only. It is not, and should not be taken as, legal advice. If you require any further information in relation to this article please contact the author in the first instance. Law covered as at April 2025.