Employment Related Securities

Employment Related Securities disputes arise where HMRC challenges the valuation placed on shares or options at grant, vesting, or exercise. Growth share arrangements, hurdle structures, and restricted share plans are common areas of dispute.

Tax expert witnesses provide independent analysis of market value at the relevant date, assessing commercial restrictions on shares and whether HMRC's valuation methodology is appropriate.

s431 election disputes require expert evidence on the unrestricted market value at acquisition and the correct tax treatment of the overall arrangement.

AspectDetail
Valuation dateMarket value at grant, vesting, or exercise as relevant
RestrictionsAnalysis of commercial restrictions affecting value
s431 electionsAssessment of unrestricted market value at acquisition
ITEPA analysisCorrect tax treatment of share and option arrangements
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Frequently Asked Questions

ERS disputes require expert evidence where HMRC challenges the valuation of shares or options, particularly for growth shares, hurdle arrangements, and restricted share plans. The expert provides independent valuation analysis at the relevant date.

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