PAYE Modernisation will commence on 1st January 2019 & will change how you use Revenue Online Services (ROS).
The employer will now have to make more frequent statutory returns to Revenue under PAYE Modernisation.
Real Time Reporting (RTR) is coming into effect so every time a payment is made to an employee, you will need to send this information to Revenue.
We will need to have more contact with our payroll clients going forward as we will need to know the exact date all employees are paid. Revenue requires you to file these details with them no later than the date your employees are paid (e.g. if you pay your employees on a Thursday the file has to be with Revenue no later than the Thursday, it can go before this date but it cannot be sent after the payment date).
On the 5th of the month Revenue will send through a statement showing the amount of PAYE/PRSI/USC/LPT that is due (this is replacing the old P30 which you are no longer required to file), this statement will need to be checked against the Payroll Submission Reports that were sent to Revenue during the previous month. You have from the 5th of the month until the 14th of the month to accept the figures Revenue issue. If you don’t log into your ROS account and accept the figures, Revenue will deem them accepted.
Once accepted by you or deemed accepted by Revenue (if you have not responded), the Revenue will automatically take the payment on the 23rd of the month. If a monthly direct debit is in place this will continue. Revenue have yet to decide how they will collect the balance due if there is a difference between the amount on the statements issued by Revenue and the amounts on the direct debits. We would recommend that the actual liability is paid every month going forward.
Care will need to be taken with regards to the permission you give to employees that can view ROS. When you filed the old P30 forms your employees saw was the total PAYE figure paid to Revenue, with this new system employees with access to ROS will now be able to view the payroll summary file that will include all gross earnings for all employees in the company. This information may be of a sensitive nature so you should review the rights granted to your employees that have access to your ROS account.
All new employees will need to register for myAccount at www.revenue.ie/myaccount. Once registered they will need to enter the details of their new job in the Jobs and Pensions service in myAccount. The employer will not be able to do this going forward
The Minimum Wage from 1st January 2019 will increase to €9.80 per hour.