On 27 September Revenue published a Statement of Practice on the operation of PAYE on non-Irish employments exercised in the State.

ICAI, under the auspices of TALC, participated in discussions towards the introduction of a key new development which relates to the non-operation of PAYE where the temporary assignee is present in the State for not more than 183 days. This has effect from 1 January 2007 and is subject to conditions.

As an all-island body, ICAI has been campaigning for the introduction of measures whereby cross-border business can be carried out in a seamless fashion without being hampered by overly complex tax administration.

The context of the Statement of Practice is the changes to the PAYE regime in Finance Act 2006. eBrief No. 9/2006 allowed some measure of relief from the operation of PAYE where the duties of the employment were performed in the State for not more than 60 working days. This new Statement of Practice permits the relief to extend to working periods of up to 183 days, provided that the employer meets a number of administrative conditions.

A copy of the Statement of Practice is available at
http://www.revenue.ie/leaflets/sp_it_3_07.pdf.

The SOP was published via eBrief No. 48/2007, which listed the other eBriefs which deal with this issue: eBriefs 43/2005; 9/2006; 16/2006 and 28/2006.

Also in the area of PAYE, Revenue have published a new Employer's Guide to PAYE. It is expected that a copy of the new guide on CD will be sent to all employers in November.

A copy of the new Guide is available at http://www.revenue.ie/leaflets/employers-guide-to-paye.pdf.