Securities that are acquired by an individual by reason of an employment. (Section 421B(1), Income Tax (Earnings and Pensions) Act 2003 (ITEPA 2003).)

Securities are deemed to be employment-related if the opportunity to acquire them is made available by a person's employer, or a person connected with a person's employer, regardless of whether, as a matter of fact, the securities were acquired by reason of employment (with limited exceptions) (section 421B(3), ITEPA 2003). Securities acquired by directors of companies, whether or not the directors are also employees and whether or not the securities were acquired in respect of the individual's director duties, will be employment-related, because office holders are treated as employees for the purposes of ITEPA 2003 (Section 5, ITEPA 2003).

For more information, see Practice note, Employment-related securities.