PAYE enhanced reporting requirements: The introduction in Finance Bill 2022 of Section 897C of the TCA 1997 will require employers to report to Revenue details of the following payments made to employees and/or directors.

The requirement to provide PAYE enhanced reporting requirements will commence in 2024.

Small benefit

The total value of the tax-free benefit or vouchers an employer can give an employee per year has increased from €500 to €1,000. The number of qualifying vouchers or incentives per year has also increased from one to two.

Remote working daily allowance

A payment of not more than €3.20 per day to an employee by his or her employer in relation to the days the employee performs the duties of their employment from their residence where no tax was deducted.

Travel and subsistence payments

A payment made to an employee by their employer in respect of expenses for travel or subsistence incurred by the employee where no tax is deducted. Since 2019, employers report their employees and/or directors pay and deductions in real time as part of their payroll process.

In keeping with this approach, where an employer provides any of these payments the employer will submit these details to Revenue in electronic format, on or before the payment date of such payment.

Revenue is now seeking the engagement of Employers, Software Providers and Agents in the implementation of this reporting requirement. This means more information is due over the coming months.

In the meantime, if you have any questions about the PAYE enhanced reporting requirements, please contact us at Hyland Johnson Keane by calling (021) 480 6316