Restricted share plans
The purpose of implementing employee share schemes will often be two fold, with an employer seeking to both incentivise and retain employees.
Tax advantages of restricted shares
• The taxable value of the shares can be reduced based on the restriction on the shares.
• Growth in the value of the shares following acquisition will be subject to capital gains tax (33%) rather than income tax,USC and PRSI.
• No employer PRSI is payable