21
Dec
The Temporary Wage Subsidy Scheme payments are subject to Income Tax (IT) and Universal Social Charge (USC). Pandemic Unemployment Payments are subject to Income Tax.
- Employees will be able to view their tax position by obtaining a Preliminary End of Year Statement on their MyAccount with Revenue.
- To finalise their tax position, claim additional credits and reliefs and declare additional incomes employees must complete a 2020 Income Tax Return.
- From mid- January, Revenue will generate a Statement of Liability for the tax year 2020. This may be balances, have an overpayment or an underpayment of tax.
- Employees may pay underpayment of taxes owing to Revenue:
- In full or partial, through RevPay or
- Revenue will arrange to collect the underpayment of tax by reducing their tax credits over a four-year period commencing 2022.
Revenue will facilitate employers who wish to pay the 2020 Income Tax USC liabilities of their employees were they arise due to the Temporary Wage Subsidy Scheme (TWSS).