Employee Share Schemes

Thank you to Amicus: Search and Recruitment for Sponsoring this episode. To find your next Finance or Accounting Role, head to https://amicus.ie/ and tell them that we sent you!

In this episode, I’m bringing you an updated run-through of Employee Share Schemes. And trust me, this is one of those topics where learning the rules properly can really pay off in the exam.

I go through each of the examinable schemes on your syllabus (unapproved share options, restricted shares, SAYE, approved profit sharing, and KEEP) and explain what the examiner is likely looking for. We also look at when schemes have to be offered to all employees which is a favourite exam angle.

Most importantly I break down the tax treatment, when income tax, USC and PRSI apply, when they don’t, and how you can reduce the liability (hello restricted shares and clogged periods). If you get comfortable with this, you’re in a really strong position to pick up solid marks.

Main Topics Covered in this Episode:

1. Overview of Employee Share Schemes: A practical walkthrough of the main examinable share schemes and why employers use them as part of employee rewards.
2. Types of Share Schemes on the Syllabus: Explanation of unapproved share options, restricted shares, SAYE, approved profit sharing schemes, and KEEP, including how each one works.
3. Eligibility and Availability Rules: Clarifying which schemes must be offered to all employees and where employers can selectively reward key individuals.
4. Income Tax, USC, and PRSI Treatment: A breakdown of when tax liabilities arise for employees, particularly on grant and exercise of share options.
5. Capital Gains Tax and Tax Planning Strategies: How CGT applies on disposal of shares and the role of restricted shares (clogged periods) in reducing initial tax liabilities.

Thank you for listening to Study For Tax in your Coffee Break! If you enjoyed the episode, make sure to leave a rating and review on your Podcast platform and share it with others to let them know you enjoyed the podcast.

To improve your study for the ACCA ATX Exams this year, head to Paula Byrne's website to purchase the Tax Conditions - the Spoken Word for audio-based revision (updated for 2026).

Thank you to Matthew Bliss for editing and production of this episode. If you'd like him to edit your podcast, send an email to [e-mail] or head to https://www.mbpod.com/.

Mentioned in this episode:

Get your Audio Revision for the 2026 ACCA Exams