PAYE Modernisation and Real Time Reporting

Revenue are implementing a new system for all employers called PAYE Modernisation and Real Time Reporting, from 1st January 2019, which will result in changes to current operations of Payroll Processing.

The current system of P.30’s, P.45’s, P.60’s and the annual P.35 Return will all be abolished from 1st January 2019.

This is going to be replaced by Realtime Reporting to Revenue from Revenue Online Services (ROS) System, for any Payroll Payment by an Employer.

Employers must notify Revenue of any payments to Employees by way of a Payroll Submission Request.

That means that Revenue need to know for every Employee payment the amount that has to be paid, the date of payment and the amount of Tax Deductible or repayable to that Employee.

So if you pay your Employees on a weekly basis or a fortnightly basis or a monthly basis, this Payroll Submission Request and the appropriate deductions need to be done on a Realtime basis with the Revenue from 1st January 2019.

This is going to be a time consuming and technical adjustment for Employers to get used of from 1st January 2019.

Any Employers who wait to clean up their operation of PAYE/PRSI towards the latter part of next year will become more visible to the Revenue Commissioners
and will potentially face penalties for their non compliance of the new PAYE Modernisation Scheme & a possible Revenue Audit.

To help you through the maize of this new scheme and Realtime Reporting, Murphy O’Connor Accountants have their own dedicated Payroll Department and
we have GDPR Compliant Software to help our Clients through this new ongoing process.

If you have any queries in relation to the new PAYE Modernisation Scheme, please arrange to come into us and go through what our firm can do for your business going forward in relation to this new Reporting System.

Remember this comes into effect from 1st January 2019, where any payments to Employees need to be done through the Revenue Online System (ROS).