Commentary on Sections Example 3 £150(Pe) – £50(E) = £100 Section 192: Application of this Chapter
751.This section sets out the subject of the legislation. It derives from section 162(1) and (9) and section 168(3)(b) of ICTA and also contains new material.
752.Subsection (1) describes the circumstances relating to an acquisition of shares which will bring it within the provisions of this Chapter.
753.Subsection (2) makes it clear that the shares can be in a company other than the employer.
754.Subsection (3). It derives from section 168(3)(b) of ICTA. It is now explicit that a right or opportunity to acquire shares, or an interest in shares, which is made available by an employer, is to be regarded – with certain exceptions – as being made available by reason of the employee’s employment. This change in approach is described more fully in Note 21 in Annex 2.
755.Subsection (4) defines the term “the acquisition” and gives shares acquired the label “employment-related shares”.