Get ready for the advent of real-time reporting
The PAYE Modernisation Project will involve the most significant reform of the PAYE system since its introduction in 1960.
Employers will need to calculate and report their employees’ pay and deductions as they are being paid e.g. if you pay your employees weekly then will have to report their gross pay and deductions to Revenue each week.
The new real-time reporting regime will be operational for all employee payments being made from 1 January 2019. This will require employers, agents and payroll providers to review their current business processes and practices so that they meet the new requirements.
In preparation for PAYE modernisation, employers should ensure that the correct PAYE processes and procedures are being followed. In particular, you should ensure that you have registered all your employees and have received a tax deduction card (P2C) for each of them.
It is also important to check that you have the correct PPS number for each of your employees.
There are employer seminars being held by Revenue across the country in September and you can register your interest in attending here.
We at TaxAssist are already prepared for this major change in how employee payments are reported, so feel free to arrange a consultation with us to ensure that you are prepared for these changes.
By Michael Scanlan