An employee-ownership trust is a specific ownership structure which was introduced by tax legislation in 2014 to promote employee ownership of businesses. These trusts provide some significant tax breaks to make employee ownership more attractive, which are now being reviewed in a consultation launched earlier this month.
For more information about the consultation see our post here.
This article explains how employee-ownership trusts work and the conditions that currently need to be fulfilled to benefit from the favourable tax treatment they provide.
Our content explained
Every piece of content we create is correct on the date it’s published but please don’t rely on it as legal advice. If you’d like to speak to us about your own legal requirements, please contact one of our expert lawyers.