The proposed amendments to the rules governing employee share schemes has become a standard feature in the annual tax proposals. This year is no different! 

The rules governing the taxation of directors and employees on the vesting of equity instruments, attribution of capital gains to beneficiaries, the income tax exemption of dividends, and the employees tax implications of returns of capital are to be reviewed for "anomalies". What exactly this means will only become evident once the draft legislation is released for comment. However, it would be safe to assume that the focus will be on perceived loopholes and shortcomings in the legislation.