Travel & Subsistence rates
Travel & Subsistence rates revised from 1 September 2022, see link:
This area is very topical area with Revenue, therefore if you have any questions or concerns, please let a member of the team know and they can assist you.
Revenue have been very accommodating during the pandemic. A new code of practice was introduced in May of this year which is starting to filter through in recent weeks. The code deals with correspondence to and from Revenue and highlights the importance of compliance.
In short, compliance is filing tax returns and paying liabilities on time. Taxpayers availing of debt warehousing who require tax clearance need to ensure that all returns are filed and paid on time.
Where a business or company is struggling to discharge their liabilities, please ensure that you talk to a member of the team here who will look at the best options for you. This could be looking at finance or entering into a Phased Payment Plan with Revenue should they agree.
Please keep this useful link handy of Revenue’s calendar of key dates:
Here in PSC, we can assist you in this area if you need help.
Income Tax Return
The pay and file deadline is the 16th November 2022 for those who can pay the balance of their liabilities of 2021 together with preliminary tax liability for 2022.
For those who cannot pay and discharge the liabilities the filing deadline is the 31st October 2022 which will prevent any surcharges. The liability may attract interest.
Capital Acquisition Tax (CAT)
All gifts and inheritances with a valuation date in the 12-month period ending on the 31 August must be paid and filed by 31 October.
This means, if the valuation date is between 1 September 2021 and 31 August 2022, you must complete the tax return and pay the tax on or before 31 October 2022.
Please ensure you inform PSC should you ever receive a gift or inheritance.
Capital Gains Tax
For disposals made between:
- 1 January and 30 November (the initial period), you must pay CGT by 15 December of the same year.
- 1 December and 31 December (the later period), you must pay CGT by 31 January of the next year.
- For disposals made under a written contract, the time of disposal is usually the date of the contract.
Please inform PSC should you have made a disposal during the period. Please note that this includes, land, buildings, shares and crypto-assets.
For our clients using the online accounting system, the automatic bank feeds from AIB are back. Please relink your bank accounts. We have been informed that it is important to review the transactions to ensure that it’s working correctly. Our team can guide you through this. The feeds from Bank of Ireland should be live shortly and Xero are talking to Permanent TSB also. Other banks such as Revolut and Paypal are live also.
For those clients who are not on Xero or any other online platform and they are struggling to keep the accounts up to date and are behind with Revenue Compliance, call us and we will gladly look at your company’s profile to see if it would benefit from online systems.
The speed of uploading data, be it bank transactions, sales invoices or supplier invoices will amaze you. It will benefit the company/business in so many ways and an added advantage is having PSC there to review anything you need instantly. Call our team and we will arrange a demo.
There were a number of Act’s passed into law during the summer. Please see link https://president.ie/en/the-president/2022-legislation/
Two most relevant ones for business are as follows:
- Sick Leave Act 2022
On 20 July 2022, the Sick Leave Act 2022 became law.
Employees Sick Pay entitlement starts once the law is commenced. This requires a Ministerial Order and is expected shortly.
Once commenced, the Statutory Sick Pay scheme will introduce:
- Paid sick leave for up to 3 sick days per year. This is planned to increase to 5 days in year 2, 7 days in year 3 and 10 days in year 4.
- A rate of payment for statutory sick leave of 70% of normal wages to be paid by employers (up to a maximum €110 per day).
- A right for workers to take a complaint to the WRC where they are not provided with a company sick pay scheme.
There are terms and conditions. A very helpful website is the Citizens Information or alternatively talk to your HR advisor.
- Payment of Wages (Amendment) (Tips and Gratuities) Act 2022
For further guidance please see https://enterprise.gov.ie/en/legislation/general-scheme-of-the-payment-of-wages-amendment-tips-and-gratuities-bill.html
Please note we have had a few queries regarding the treatment of tips received electronically. Where included on the bill, regarded as part of the consideration for the meal and liable at the second reduced rate. However, voluntary payments (tips) made by customers and not appearing on the bill remain outside the scope of VAT.
Tips and gratuities are fully taxable and should be included by employees in their tax returns. If an employer is involved in the distribution of tips/service charges through a PAYE scheme, these tips are fully liable for tax purposes.
We hope you found this circular informative. Should you have any questions at all please do not hesitate in contact, Neal, Noel, Seamus or Siobhán or any other member of the team where they would be happy with guide and assist you.