Taxes Consolidation Act 1997 Schedule 12A paragraph 19

Exercise of rights - death before bonus date

Paragraph 19 requires the scheme to include provisions governing the exercise of rights where the person who obtained them dies before or shortly after the bonus date.

• The scheme must address what happens to a participant's rights if they die before or shortly after the bonus date.
• If the participant dies before the bonus date, the rights may be exercised within 12 months of the date of death.
• If the participant dies within 6 months after the bonus date, the rights may be exercised within 12 months of the bonus date.
• In either case, if the rights are not exercised within the permitted window, they lapse.