Package Fee (incl GST)

• $115 - NZLS members and Associate members
• $145 - Non-members

Note: Access to the online files is via your "My CPD" page. If you would like to purchase multiple packages, please contact us here.

Online CPD Module

Employee equity schemes can provide an effective means of attracting, retaining and incentivising key staff. However, structuring these schemes can be complicated as there is a range of ways to structure a scheme, and a range of legal, tax and commercial factors to consider when designing a scheme.

This module will take a practical approach that is aimed at ensuring that you are able to provide your clients with robust advice specific to their circumstances.

The module will include:

•  An overview of equity, option and phantom schemes and what to consider when choosing an appropriate scheme
• Regulatory and legal issues impacting employee equity schemes
• The tax implications of each type of scheme, including an overview of recent tax changes
• The commercial drivers and evolving market practices in this area.

Learning objectives

By completing this module you will gain:

• A greater understanding of the key issues to consider when choosing an appropriate equity scheme.
• An overview of the types of scheme available and legal and commercial elements to consider in scheme design.
• An awareness of tax implications of various schemes.

Electronic paper 

Authors: Jane Goodwin, Nick Laing
Published: 27 October 2021
Pages: 26

Introduction

An employee share scheme (ESS) is an arrangement between a company and its employees that is designed to give employees an equity stake in the company.

This paper will consider:

a. key scheme design considerations and the various types of scheme (shares, options and “phantom” schemes);
b. key commercial parameters for the scheme (eg pool size, vesting, exercise period, exercise price and leaver provisions);
c. legal compliance matters under company and securities law etc; and
d. the material income tax consequences that arise from various schemes for a company and employees.

PowerPoint Presentation

These are the slides included in the presentation.