PAYE \ PRSI \ RCT

• Tax on employees.
• Employers PRSI-8.5% or 10.75%.
• Important for employers to always agree a gross wage and terms in writing.
• P30 return monthly or quarterly due the 14th of the month.
• P35 annual declaration due 15th February every year.
• For new employee get P45 or fill form 12A and send to tax office in order to receive tax credit certificate from Revenue.
• Use Emergency tax rules while waiting for proper P45 or Tax credits.
• BIK (Benefit In Kind) is applicable to most benefits from employer to employee.
• A Payroll computer package helps to keep accurate records, calculates taxes and prints payslips which is getting more important for compliance even for small business.

RCT – Relevant Contracts Tax is applicable to certain businesses including builders for sub ontractors who can prove that they are not employees and who are not in possession of a C2. 35% of payment has to be withheld and paid over to Revenue and sub contractor is issued with a slip showing Gross Payment, Tax deducted and net payment.

Helpful - Net to Gross Salary Spreadsheet

  Download PAYE/PRSI 2011 document