If you are an employee in receipt of share options, it is important to ensure that you have dealt with all relevant tax obligations (e.g. Income Tax and Capital Gains Tax).

As result of the increase in the use of share-based remuneration to reward employees, this is currently an area of particular interest for the Irish Revenue Commissioners.

From the employer, Revenue receives an annual report outlining all share option awarded to its employees in a tax period. Technological advances means that it is now easier and faster for Revenue to reconcile the information reported by the employer with the information contained in the employee’s personal tax return. As a result, instances of non-compliance can be easily identified.

Revenue is currently advising all employees to review their tax compliance position and speak with their personal tax adviser. In the event that defaults are identified, employees should take action to remedy such defaults to ensure that they are tax compliant.

If you require assistance in dealing with your tax affairs, please do not hesitate to contact us. Our tax team has extensive knowledge in this area and would be more than happy to assist you.

You can phone us on 021 486 1486, or email info@mc2group.ie.