There are plenty of deadlines in the business calendar, but if your company operates a share scheme or has issued shares to employees or directors, the Employment-Related Securities (ERS) annual return deadline is one you should not overlook.
The deadline for submitting a return is 6 July 2025, now less than a month away.
If your business operates HM Revenue & Customs (HMRC) approved or unapproved share schemes, has given shares, options or other securities to employees or directors during the tax year to 5 April 2025, you may be required to submit a return.
Submission criteria includes:
- Operating a registered share scheme (EMI, CSOP, SAYE, SIP or ‘other’)
- Issuing shares, granting options over shares or transferring securities to employees or directors (including non-executive)
- Offering share awards to UK employees under an overseas or unapproved plan
If you have an existing share plan and have made submissions in the past, a return is still required even if no activity has taken place during the year..
Avoid the last-minute scramble
While it is easy to push admin tasks to the bottom of the to-do list, there are good reasons not to delay:
- If you have something to disclose, HMRC’s system is quite particular so it can take some time to prepare the return; submissions must be in the correct format and use the latest templates
- There is a registration process to follow and it can take HMRC up to 7 days to create your account
- If something goes wrong (an expired login, rejected filing and incorrect data, for example), there is no grace period – penalties will apply for late submissions
- The deadline isn’t within the working week this year – the official deadline falls on a Sunday so if you do need professional assistance you may need to arrange this within plenty of time
What you will need to do
- Check Government Gateway access to ensure you have access to the correct services.
- Register and self-certify any schemes. Even longstanding schemes must be properly registered on the HMRC system.
- Gather accurate data. You’ll need to include all share-related transactions including grants, exercises, lapses, cancellations and net-settlements including their values
- Use the correct HMRC templates. These are updated regularly, and older versions may be rejected. You can find the latest information on the HMRC website
- Validate your file. HMRC offers a checker tool, use it to avoid simple errors.
Penalties for late filing
Missing the 6 July deadline triggers automatic penalties:
- £100 for each scheme not filed by the deadline
- An additional £300 at three months, and again at six months
- £10 per day from nine months onwards
- Up to £5,000 for serious inaccuracies
We support clients across sectors with ERS reporting, ensuring everything is filed correctly and on time.
If you would like support, we are here to make the process as simple and stress-free as possible.
Get in touch today and let’s get it sorted.
Stephanie Hurst
