Introduction

The UK introduced a system called Real Time Information (RTI) where employers are obliged to file payroll returns electronically for each payroll run. If employers do not file on time, they may be liable to financial penalties. Each submission contains quite a significant amount of data. It is like submitting a P35 for each payroll run. Now Revenue intend to implement a similar system for Ireland. More information about the UK system can be found here:

https://www.gov.uk/running-payroll/reporting-to-hmrc

It is planned by Revenue that PAYE Modernisation will be operational from 1 January 2019.

PAYE Modernisation will likely significantly increase the administrative burden by integrating PAYE reporting obligations into the normal payroll process. With this in mind, we will endeavour to make the process as painless as possible for you by drawing on our UK RTI experience.

 

Current Progress

We are working with Revenue to ensure that Payback will comply with PAYE Modernisation. As part of this, we have released a new version that allows employees to upload a current list of employees to ROS. Payback version 2018.05 onwards has this new facility.

This facility can be found in the reports screen under Revenue Reports and it is called 'ROS List of Employees'. This report must be uploaded through ROS. Before uploading the list, Revenue have suggested that all employees should have a PPS Number. Payback will not include any employees that do not have a PPS number. You should also ensure that you have P45ed any employees that have left your employment. Full guidelines can be found here:

https://www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-42/list-of-employees-guidelines-for-employers.pdf