Local Property Tax - now a part of the Irish taxation landscape

LPT deductions at source (i.e. from payroll) became effective from 1st July 2013. The LPT deduction is advised to the employer by Revenue only and should not be implemented or amended under any other circumstances (e.g. by employee request).

The “Acorn to Oak Communications Plc -v- An Taoiseach, An Tánaiste and 48 Others” case was heard in the High Court last week and the case was dismissed. As far as we are aware, this ends the last legal challenge to the new tax.

Revenue will advise employers to make this deduction by the inclusion of an LPT field on the employee’s tax credit certificate issued to the employer (P2C). The deduction is only made in the circumstance that the employee has elected with Revenue to have the tax deducted from their salary or if Revenue are imposing the deduction, therefore employers will only make the deduction from some employees if not all.

Employers should not deviate from Revenue instructions. All employee queries relating to any LPT deduction or amendment should be directed to Revenue.

The latest versions of Thesaurus Payroll Manager (2013.2.0 upwards) automatically update employee records to implement LPT deductions, where applicable, once the latest P2Cs have been imported. All employee statements of earnings; Payslips, email payslips, P45, P60, will reflect LPT deductions made by employers on the employees behalf.

It is important that employers import the latest P2C file available to them from their ROS account in order to update employee details for such amendments.

Bright Contracts – Employment contracts and handbooks
BrightPay – Payroll Software

Posted byPaul ByrneinLPTPayroll Software

BrightPay 13.2, With Local Property Tax (LPT) Support, is Now Available

Local Property Tax (LPT) payroll deductions will become mandatory for applicable employees from 1st July 2013 onwards. Revenue have already started to issue updated P2Cs with LPT amounts.

You will need to upgrade to BrightPay version 13.2 to handle LPT payroll deductions. When you next launch BrightPay, the upgrade should be automatically detected – just follow the instructions on-screen. If you have any problems upgrading, please contact us.

BrightPay 13.2 Release Notes

Local Property Tax (LPT)

• Ability to import P2C files which contain total LPT amounts. Total LPT amounts can also be entered manually.
• LPT calculation and inclusion of LPT values on payslips and workings.
• P45 and P45 Part 3 updated to support LPT values (both ROS files and printable versions).
• P30 updated to support LPT values (on-screen, ROS files, and printable versions).
• Several LPT fields have been added to analysis.
• Ability to enter LPT year-to-date information in a mid-year employer setup.

Other features, improvements and bug fixes:

• Ability to print employee calendar.
• Ability to print annual leave entitlement calculation.
• Ability to enter previous employment figures for P46 employees (before, it was only possible for P45 Part 3 employees).
• Ability to import several new mid-year year-to-date values when importing employees from CSV.
• Fixed an issue in which an incorrect PRSI class is stated on the P45 for an employee who had one or more zero-pay payslips.
• Fixes an issue in which certain USC rates/bands and previous employment figures are not correctly imported from a P2C file.
• Fixes an issue in which incorrect year-to-date values are shown on the Tax Deduction Card of an employee who started during the tax year.

Bright Contracts – Employment contracts and handbooks.
BrightPay – Payroll Software

Posted byRoss WebsterinLPTNew FeaturesPayroll Software