When you’re busy running a business in the UK, it can be difficult to keep track of every last deadline set by HMRC and Companies House. However, if you don’t notify HMRC about new grants issued under an EMI scheme, your company won’t qualify for preferential tax treatment – and nor will your employees.
EMI notifications begin on Capdesk. Generate a report from the platform and it’ll be delivered to your email inbox in minutes. Once you’ve reviewed your report, follow these step-by-step instructions to file it with HMRC, compliantly and on time.
Sign in to the HMRC online portal using your company’s Government Gateway user ID and password. If you don’t have an account, you’ll need to register with HMRC as an employer.
Once you’ve signed in, click ‘Enterprise Management Incentives (EMI) notifications’ (under ‘Employer Related Securities’ in the left-hand sidebar).
You’ll see a tooltip about notifying HMRC within 92 days of granting EMI options, but note that the UK Government announced a change to this rule. From 6 April 2024, you’ll have until 6 July to notify HMRC of any EMI options granted in the previous tax year.
If your grant notification relates to more than 30 employees, follow the ‘Download EMI notification’ link. Otherwise, click ‘Create an EMI notification for [company plan]’.
Use the dropdown menu to select the tax year in which the grants were issued. Click ‘Next’ to continue.
Enter the date of the option grant and click ‘Next’.
Answer two questions about the options you've issued, then click ‘Next’ to continue.
The Notification summary page recaps the information you’ve entered so far. You'll need to complete three further sections, indicated by a blue arrow in the ‘Status’ box.
Click ‘Next’ or the first blue arrow to move on to the Employer company details section.
This page asks for information about your company, such as the Corporation Tax reference and business address.
Once you’ve entered the necessary details, click ‘Next’ to save your data and move on to the Details of shares section.
You can also return to the previous section by clicking the ‘Back’ button or the ‘Notification summary’ link.
In this section you need to provide information about the class and unrestricted market value of the shares being issued.
You must also confirm whether or not the market value was agreed with HMRC. If relevant, include the reference number of your most recent HMRC-approved valuation.
Click ‘Next’ to save your data and proceed to the Employee Details section.
There are two ways to enter information about new optionholders. If your company doesn’t use Capdesk, you’ll need to enter each grant recipient’s details manually. Clicking ‘Add Employee’ will take you to the form shown below.
Alternatively, you can upload your EMI notification using an attachment. This page allows you to download an EMI notification form and complete it offline before uploading it here.
Once you’re using Capdesk, you won’t need to fill this form out manually. You can simply upload the EMI notification file you exported from our platform.
To upload an attachment, click the 'Choose file' button at the bottom of the page. Click 'Next' to move on.
This is an opportunity to review your EMI notification before submitting it. You can manually add another employee or attach an updated file, but doing so will replace any existing attachments.
Click ‘Next’ to continue.
Return to the Notification summary page to check that all sections are complete. You should see three green ticks.
If you’re happy with your submission, click ‘Next’.
The final step is to tick the declaration checkbox to confirm that your notification meets the criteria listed on the page. Once you've verified this, click ‘Next’.
You should receive confirmation of your submission along with a reference number. Note that it can take up to two weeks for HMRC to process and verify your information.
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