SolvedETASSUM38040 | Schedule 3 SAYE option schemes: Taxation: Grant of share options – Schedule 3 SAYE option scheme
From HM Revenue & Customs · Employee Tax Advantaged Share Scheme User Manual
No charge to income tax can arise on the grant of a Schedule 3 SAYE share option.
If grants of options are accidentally made at a discount to the market value of the shares on the agreed valuation date in excess of the permitted 20%, scheme advisors should treat such options as not having been granted in accordance with the provisions of a Schedule 3 SAYE option scheme. They are not therefore within the scope of Section 519 and attract no tax advantages.