operation of share incentive plans. It is meant to ensure that the provisions are used in good faith by the individuals, such as family owners, for whom they are intended. It is designed, therefore, to deal with the fears expressed on Second Reading that the proposed relief might be open to abuse by companies, a problem that arose with the QUEST—qualifying employee share trust—scheme. Amendment No. 2 therefore has an anti-avoidance purpose.
Amendment No. 3 makes clear the point at which tax relief would be allowed. Amendment No. 4 is consequential on amendment No. 3.
Amendment agreed to.
Amendments made: No. 3, in page 2, leave out lines 33 to 35 and insert—
'The condition in this sub-paragraph is that, at the end of the period of twelve months beginning with the date of the acquisition, the trustees hold shares in the company for the plan trust that—'.
No. 4 in page 3, leave out lines 3 to 6.—[Mr. Lazarowicz.]