EIM11230 - Incentive award schemes: awards to the self- employed

Employment income rules do not apply to awards for self-employed workers

Some incentive award schemes may provide for awards to both employees and the self- employed. The employment income rules for valuing and taxing incentive awards do not apply to the self-employed.

HMRC will decide whether the award should be taken into account in arriving at the business profits and, if so, the amount to be included when dealing with the accounts of the person receiving the award.