Textual Amendments
F1Pt. 5A inserted (17.7.2012) (with effect in accordance with Sch. 6 para. 24(1) of the amending Act) by Finance Act 2012 (c. 14), Sch. 6 para. 1
Modifications etc. (not altering text)
C1Pt. 5A applied by Taxation of Chargeable Gains Act 1992 (c. 12), Sch. 5BB para. 8(4) (as inserted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 6 para. 5)
(1)If the issuing company is a single company, the full-time equivalent employee number for it must be less than 25 when the relevant shares are issued.
(2)If the issuing company is a parent company, the sum of—
(a)the full-time equivalent employee number for it, and
(b)the full-time equivalent employee numbers for each of its qualifying subsidiaries,
must be less than 25 when the relevant shares are issued.
(3)The full-time equivalent employee number for a company is calculated as follows—
Step 1 Find the number of full-time employees of the company.
Step 2 Add, for each employee of the company who is not a full-time employee, such fraction as is just and reasonable. The result is the full-time equivalent employee number.
(4)In this section references to an employee—
(a)include a director, but
(b)do not include—
(i)an employee on maternity [F2, paternity [F3, shared parental or parental bereavement]] leave, or
(ii)a student on vocational training.]
Textual Amendments
F2Words in s. 257DJ(4)(b)(i) substituted (1.12.2014) by Children and Families Act 2014 (c. 6), s. 139(6), Sch. 7 para. 71; S.I. 2014/1640, art. 5(2)(cc)
F3Words in s. 257DJ(4)(b)(i) substituted (18.1.2020) by Parental Bereavement (Leave and Pay) Act 2018 (c. 24), s. 2(2), Sch. para. 52; S.I. 2020/45, reg. 2