Irish Payroll Tax Tip - August 2013

EMPLOYERS, DID YOU KNOW THAT YOU CAN PROVIDE EMPLOYEES WITH EQUIPMENT SUCH AS COMPUTERS, PRINTERS, SCANNERS, FAX MACHINES, OFFICE FURNITURE ETC TO WORK FROM HOME WITHOUT A BENEFIT IN KIND CHARGE.

Where the provision of such equipment is for business use, a benefit in kind charge will not arise in respect of incidental private use.

eWorking:

eWorking is regarded as a method of working using information and communication technology in which work carried out is not bound to any particular location.

Ways of eWorking include:

• Working at home on a full time or part time basis

• Working some of the time at home and the remainder of the time in the office

• Working while on the move, with infrequent or occasional visits to the office

eWorking involves:

• Working for substantial periods outside the employer’s premises

• Logging onto the employer’s computer remotely

• Sending & receiving email, data or files remotely

• Developing ideas, products and services remotely

eWorkers will incur additional costs in the performance of their duties in their home e.g. electricity & heating costs. In addition to providing the necessary equipment an employer can pay these employees up to €3.20 per day without deducting PAYE, PRSI or USC. If the actual expense incurred by eWorking employees is higher the employer can reimburse the employee provided they have the backup documentation, records should always be kept.

Details can be found on Revenue’s website http://www.revenue.ie/en/tax/it/leaflets/it69.html

If you have any queries please email: [email protected]/[email protected]

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Posted byAudrey MooneyinPayroll Software