EMI Filing Requirements

📘 Overview

This article sets out the key deadlines and steps for an EMI (Enterprise Management Incentive) option scheme. You’ll learn when legal documents must be signed, how to register the scheme, how and when to notify HMRC of grants, and how to complete the annual return.

Missing these deadlines may cause you to lose the EMI-tax advantages for your company and employees.

✅ What you will learn

  • When your valuation, board minutes and option agreements must be signed
  • How and when to notify HMRC of a grant of EMI options
  • How to register your EMI scheme and what role your agent (e.g., Barnes & Scott) can play
  • The annual return requirement for EMI schemes

📅 Key Deadlines

  • Valuation & grant window: Typically, the company must grant the EMI options within 90 days of the date on the HMRC valuation agreement letter (or within whichever shorter period your plan rules specify). If options are granted after that window, the valuation may not apply and you risk engines of tax advantages being lost.
  • Notification of grant to HMRC:
    • If the option grant date is before 6 April 2024 → you must notify HMRC within 92 days of the date of grant.
    • If the option grant date is on or after 6 April 2024 → you must notify HMRC on or before 6 July following the end of the tax year in which the grant was made.
    • Important: even though the statutory deadline has changed, if your company’s EMI plan rules still specify a 92-day deadline you may need to comply with that earlier deadline to preserve the tax treatment.
  • Annual EMI return (ERS return): Each year, you must file your EMI scheme’s annual return by 6 July following the end of the tax year. This applies whether or not there were any options exercised, lapsed or cancelled.

🧾 Registering an EMI Option Scheme

Before any notifications of grant can be made, you must register your EMI option scheme with HMRC.

✅ Steps to register

  1. Make sure your company has a PAYE Online account and is set up for ERS (Employment Related Securities) online services (this activation may take time).
  2. In the PAYE Online / ERS portal go to: Employment Related Securities > Register a scheme > EMI
  3. Follow the online instructions; once registration is approved you’ll receive a unique EMI scheme reference number. It may take several working days (often up to a week or more) to receive the reference.
  4. Keep a record (screenshot or download) of the scheme reference number and all confirmation details. The HMRC system may not allow you to access them later.

💡 Tip

Store the EMI scheme reference number securely, you’ll need it when making any grant notifications and for your annual return.

📊 Making an EMI Grant Notification Yourself

Once the scheme is registered and a valid grant has been made, you need to notify HMRC.

✅ Steps (for up to 30 employees)

  1. Log in to your HMRC Online Services account (your Government Gateway ID).
  2. Navigate to: “Services you can use” → “PAYE for Employers” → “Employment Related Securities (ERS)” → “EMI notifications”.
  3. Select your registered EMI scheme (by reference number).
  4. Choose the tax year of the grant and input the grant date (the date the option agreement was signed).
  5. Provide the required information about employer details, share-details, employee details.
  6. Submit the notification. Save a screenshot or PDF of the acknowledgement because the system will not allow you to revisit the submission.

📋 More than 30 employees

If you have more than 30 employees in a single grant notification, you must use the statutory EMI notification template (available on GOV.UK) and upload it via ERS.

🧮 Agent (e.g., Barnes & Scott) Making EMI Notifications

Your agent can submit notifications on your behalf once they are authorised, but they cannot register your EMI scheme for you, you must register the scheme yourself.

✅ What we will need to proceed

  • Your company’s Employer PAYE Reference
  • Your Accounts Office Reference

✅ Authorisation process

  1. We will request an authorisation code from HMRC (posted to your company’s registered office). This can take up to 10 working days (or more depending on postal / processing time).
  2. Please supply us the code as soon as you receive it so that we can become authorised in the online ERS system and submit notifications timely.
  3. Once authorised we will submit the EMI grant notifications on your behalf.

💡 Tip: Early authorisation reduces the risk of last-minute delays affecting deadlines.

Summary

  • Ensure your valuation, board minutes and option agreements are in place and options are granted within ~90 days.
  • For grants made before 6 April 2024 → notify HMRC within 92 days of the grant date.
  • For grants made on or after 6 April 2024 → notify HMRC by 6 July following the end of the tax year.
  • Register your EMI scheme in HMRC’s ERS system before any notifications.
  • File your annual ERS return by 6 July after each tax year.
  • Your agent can submit notifications for you, once authorised, but you must register the scheme.

Still need help? Contact Us Contact Us