Revenue Note for Guidance
This section provides that the Revenue Commissioners may make arrangements with employers whereby the employers will themselves pay to the Revenue Commissioners, the tax payable in respect of benefits provided to employees which are minor and irregular rather than deducting the tax from the earnings of the employees and accounting for it through the normal PAYE system. Where the employer so accounts for the tax, the benefits will not form part of the total income of the employees and they will not be entitled to credit for or repayment of the tax accounted for.
(1) “qualifying emoluments” means emoluments other than emoluments in the form of a payment of money, which are—
(2) On application by an employer, the Revenue Commissioners may enter into an agreement with the employee to account directly to them in respect of income tax on qualifying emoluments of one or more employees of the employer which would otherwise have to be accounted for through the normal PAYE system.
Where the employee accounts for the tax under such an agreement—
(4) & (5) The amount of tax to be accounted for by the employer—
(6) An application by an employer to enter into a PAYE settlement agreement must be received by the Revenue Commissioners on or before 31 December in the tax year to which the agreement applies.
(7) If the tax due under an agreement is not paid to the Collector-General within 23 days of the end of the tax year to which the agreement applies, the agreement becomes null and void and the remaining provisions of the Chapter (PAYE system) and regulations thereunder shall apply.
(8) Any officer acting under the authority of the Revenue Commissioners may perform or discharge any action authorised by this section.
Relevant Date: Finance Act 2019