Online filing of Employee Share Schemes returns and information

In November 2005 we announced, as part of a package of measures to reduce the burdens on business, introduction of online filing service for Employee Share Scheme returns.

This service will be available from 6 April 2007 allowing companies to report information online currently provided on Forms 34 (SAYE), 35 (CSOP), 39 (SIP) and 42 (employment-related securities). Tax year 2006-07 will be the first tax year for which online reporting of Employee Share Scheme events can be made. To use this facility, users must be registered for the PAYE Online - Internet Service. For more information about this please visit our PAYE Online Services web pages. Companies will need to use third party software to submit share scheme information online. Please see further details.

Regulations (PDF 49K) and explanatory memorandum (PDF 29K) about the use of approved methods of electronic communications for the delivery of information have now been laid and published.

Companies will no longer be issued with paper returns for completion. HMRC will instead issue notices to file share scheme annual returns to those companies whose schemes are known to us. However, please note that non-tax advantaged employment related securities events have to be reported without any prompting or notice by HMRC.

Companies will be encouraged to file online but they will still be able to file paper returns if they choose to do so. Companies can obtain paper copies of the annual returns by printing a copy from the shareschemes area.

Information for Software Developers

Please see the technical pack for Software Developers entitled: Employee Share Schemes Online: 2006-2007 Internet Service.

For further information on the development and availability of online filing you can email the SDS team or telephone 01274 534666.