Mid West Society News

Minister for Finance Paschal Donohoe announced the expansion of the tax debt warehousing scheme in yesterday’s Budget. The Collector General’s Division has provided Chartered Accountants Ireland with the following update: I refer to your representations at TALC regarding the section 997A Taxes Consolidation Act 1997 (TCA) issues impacting certain directors / employees who have a “material interest” in the company that pay their emoluments, and who are not entitled to a credit for the tax deducted from their remuneration  under the PAYE system but not remitted to Revenue, as a consequence of their employer company availing of debt warehousing for PAYE (Employer) liabilities.  In yesterday’s Budget publication, the Department of Finance has outlined the intention to allow self-assessed income taxpayers with employment income who have a material interest in their employer company to warehouse income tax liabilities relating to their Schedule E income in these circumstances. Please note this is subject to the enactment of the Finance Bill. In this regard, where a director / employee has a “material interest” in the company that pays their emoluments, and section 997A TCA means the director / employee is not entitled to a credit for the tax deducted due to the company warehousing its PAYE (Employer) liabilities, and the director/employee does not satisfy the 25% reduction of income threshold to avail of income tax debt warehousing, the director / employee may avail of debt warehousing  only for their Schedule E (PAYE) liability which has been warehoused by the employer company. The non Schedule E liability must be paid when filing the income tax return. Revenue has updated the Statement of Net Liabilities screen to include a new tick box declaration (as outlined below). When completing the Statement of Net Liabilities screen, a director / employee who satisfies the above requirements and wishes to warehouse their Schedule E liability only, may tick the relevant declaration to avail of debt warehousing for their Schedule E liability. Although my income has not reduced by 25% when compared to 2019, I wish to warehouse my Schedule E (PAYE) liability in respect of the tax deducted from director emoluments as set out in this return on the basis that I am restricted by Section 997A TCA 1997  from claiming credit for tax deducted from those emoluments as a result of my employer company warehousing their PAYE (Employer) liabilities. We would be grateful if you could bring this to the attention of your members so that they can inform their clients who are impacted by this issue. END OF MESSAGE As highlighted in the CCAB-I’s Pre-Budget Submission, and Chartered Accountants Ireland’s The Next Financial Year, the interaction of anti-tax avoidance provisions under section 997A TCA 1997 and the tax debt warehousing scheme gives rise to financial difficulties for taxpayers classed as proprietary directors and employees with a material interest in their employer company because this cohort of taxpayer are not entitled to a credit for PAYE tax in the calculation of their income tax liability for 2020 and preliminary tax liability for 2021 where their employer is participating in the tax debt warehousing scheme. Chartered Accountants Ireland, under the auspices of the CCAB-I, has made representations to Revenue for a pragmatic solution to this issue.  The Institute has asked Revenue for clarification on a number of issues related to the expanded debt warehousing scheme and further information will be published in Chartered Accountants Ireland’s  Tax News when it becomes available.

Confirmation that the Employment Wage Subsidy Scheme (EWSS) will remain in place in a graduated form until 30 April 2022 will give vital certainty to over 39,000 employers who are still registered for the support, Chartered Accountants Ireland said today. Reacting to Budget 2022, the largest professional accountancy body on the island of Ireland said this support is key to helping the SME sector to return to pre-pandemic trading levels.  Business supports Norah Collender, Professional Tax Leader, Chartered Accountants Ireland said “Today’s decision to extend the EWSS until 30 April 2022, avoiding any cliff edge, will come as a major relief for many small businesses that are still not operating at full capacity, for example in the tourism, hospitality, and entertainment sectors. These supports cannot last forever, but their presence over the last 18 months has been an example of a targeted, partnership-based approach by the state which has kept many businesses afloat.”   In contrast, the Institute referenced the decision to not reduce Ireland’s rate of Capital Gains Tax, among the highest in the EU, from 33 per cent as a missed opportunity, noting the role that a reduced CGT rate could have played in supporting entrepreneurship and encouraging investment in SMEs that need capital. The Institute also noted the announcement by Government that new companies can continue to benefit from a reduction in corporation tax, with companies now able to avail of this for the first five years of trade, an increase on the previous limit of three years. Collender said “The struggle for survival is a reality for start-up companies, and that struggle is even more acute for businesses starting out just as the country recovers from a pandemic and ongoing Brexit disruption. A reduced corporation tax liability for such business will help cash flow and is a worthwhile endorsement of the Irish entrepreneurial spirit.” Carbon reduction measures Ireland’s enterprise sector accounts for just over 13% of the economy’s total emissions. According to the Institute, there was very little in today’s Budget to incentivise those businesses to help achieve the 7 per cent annual emissions reduction that the Government has committed to over the next decade. Commenting, Cróna Clohisey, Public Policy Lead, Chartered Accountants Ireland said “Businesses, particularly SMEs, will play a crucial rule in meeting the Government’s net-zero carbon emissions targets by 2050. However, businesses can only deliver if they are supported by the right policy frameworks and incentivised by Government to commit to carbon-reduction targets.  “The absence in this Budget for example of an enhanced R&D Tax Credit to fast track the development of green technologies making renewable energy cheaper and more readily available, is a real missed opportunity.” This lack of incentive and alternatives for businesses to make a different choice, also applies to consumers, with the Institute noting that the biggest challenge of tackling climate change continues to be changing human behaviour. Clohisey continued “Any positive environmental impact of carbon taxes is limited by the lack of alternatives for consumers. Higher diesel and petrol prices will not have any real impact on car usage or carbon emissions until affordable alternatives are provided to consumers. Electric cars remain expensive and while the extension of the BIK exemption on electric cars out to 2025 is broadly welcome, the grants available to purchase new electrical cars should be extended to second hand electric vehicles.  “Similarly, today’s carbon tax rise is effectively cancelled out by the resulting need to increase the weekly fuel allowance payment. Continuing to increase the fuel allowance without accelerating the retrofitting of homes for those in fuel poverty risks leaving the State in a holding pattern, without forward momentum towards net-zero.”  Supporting home working The pandemic has shone a harsh spotlight on how the taxation system reflects the costs for employees working from home. To date, tax relief can only be claimed on expenses incurred for equipment used “wholly, exclusively and necessarily” in the performance of the duties of employment, with a strict interpretation of this resulting in complex rules and slim odds of making a successful claim. Restrictive tax rules for making claims for costs of utility bills have resulted in a low uptake to date by remote workers. Norah Collender, Professional Tax Leader, Chartered Accountants Ireland said “Fairer and more accessible tax rules must be developed as part of an effective strategy for remote working. The Institute has previously called for a similar measure to the UK’s ’express claim’ tax relief to be considered by the Irish Government; while more modest, it is easier to claim. Today’s increased relief for 30 per cent of electricity, heating and broadband costs will only facilitate the hybrid working model if the tax relief is straightforward for claimants.” ENDS For more information:  Jill Farrelly  PR & Communications Manager   Chartered Accountants Ireland  087 738 6608

With the requirement to work from home soon expiring, employers must be proactive in their approach to the return to the workplace. As restrictions lift and the vaccination rollout continues, planning and preparation are needed to ensure a seamless return, says Dera McLoughlin. With the successful rollout of Ireland’s vaccination programme against COVID-19, many Irish employers and workers are now preparing to return to their physical workplace after a considerable period of working from home. To ensure that the return to work aligns with current Public Health advice and measures to keep workplaces safe, the Tánaiste and Minister for Enterprise, Trade and Employment, Leo Varadkar TD, has published an updated Work Safely Protocol. It will help ensure that employers and workers continue to contain and prevent the spread of COVID-19. While many retail and hospitality sectors returned to work in May 2021 in line with Government advice at the time, a phased return to the office and workplaces for those currently working from home will now take place from 22 October 2021, when the requirement to work from home will be removed. This will allow employees to return to physical attendance in the workplace on a phased and cautious basis appropriate to each sector. Lead worker representative A key component for ensuring adherence to the Protocol is the role of the Lead Worker Representative (LWR) in the workplace. Employers are required to appoint at least one LWR who will work with the employer to assist in implementing and monitoring adherence to the Protocol to prevent the spread of COVID-19 in the workplace. LWRs should be trained appropriately by their employer and be the conduit between workers and the employer for any concerns about the implementation of the Work Safety Protocol. Guidelines within the Work Safely Protocol The Work Safely Protocol sets out comprehensive steps for employers and workers to reduce the risk of exposure to COVID-19 in the workplace, including: Updating the COVID-19 response plan; Implementing and maintaining policies and procedures for prompt identification and isolation of workers who may have symptoms of COVID-19; Developing, updating, consulting, communicating and implementing workplace changes or policies; and Implementing COVID-19 Infection Prevention and Control (IPC) measures. The Protocol also provides guidance on workplace and community settings, occupational health and safety measures, and a library of resources for employers and workers. Considerations for employers Through many workplace surveys carried out in the past year, it is evident that many office-based employees wish to avail of some form of remote work in the future. Many companies also indicate that they want to adapt and accommodate their employees and continue to offer a degree of flexibility. A recent survey from CIPD Ireland outlined that one in two businesses in Ireland plans to adopt remote working in some form permanently in the future. When organisations consider their working arrangements, any decisions made must be based on several factors such as business objectives, employees’ wishes, potential office space adaptations and associated costs. Here are some key considerations. Health and safety requirements Before any employee returns to their workplace, the work environment must be safe and compliant with all relevant Government and HSE guidelines and in line with the Safety, Health and Welfare at Work Act requirements. Companies are advised to create and/or update policies that reflect the environment, health and safety, and emergency protocols to align with HSE guidance. It is also essential that the organisation establishes clear protocols for returning to the building, provides the requisite training on accessing shared workspaces and equipment, and the measures in place if an employee displays symptoms of COVID-19 while in the workplace. The price of returning to work Before returning to the workplace, an organisation must evaluate and understand the costs of bringing people back to the office. There will likely be costs such as reconfiguring office space and seating, increased cleaning costs, and potential PPE costs. Types of work and phasing the return to work Before returning to the workplace, each role and team should be reviewed strategically to identify which roles need to be on-site and which roles use technology or machinery. When determining which teams should be prioritised, an organisation will plan a phased return to ensure maximum productivity. The voice of the employee The difficulties that employees have faced over the past year while remote working cannot be understated. Therefore, before employees return to the workplace, employers must assess and understand employees’ needs, personal situations, welfare, and mental health. Where possible, businesses must understand such employee concerns while ensuring productivity is maintained. Tax Hybrid working is the future, and while employers can provide certain benefits to staff tax-free (e.g. specific office equipment, mobile phone etc.), these are limited. Employers must be conscious of published Revenue guidance on what expenses and benefits the employer can provide tax-free to remote working employees. If the employer inadvertently provides benefits not addressed in Revenue guidance, the benefit would be considered a taxable benefit, resulting in a payroll exposure for both the employer and employee. Employers should look for any potential new measures that may be announced in Budget 2022. Dera McLoughlin is Partner, Head of Consulting at Mazars.

This week’s call by the Commission on Pensions for the early introduction of an auto-enrolment pension savings scheme is an important reminder of the scale of the challenge of pension provision in the coming decades in Ireland, according to Chartered Accountants Ireland. The proposal was part of a series of recommendations set out by the Commission on Pensions following their examination of the sustainability of the State Pension. A survey this year of some of Chartered Accountants Ireland’s 30,000 members, recorded 93 percent support for the introduction of auto enrolment, a scheme under which workers would automatically be enrolled in a pension scheme, with contributions by employers, employees, and the state. In February 2021, the Government announced that its introduction would be delayed until at least 2023. Commenting, Cróna Clohisey, Public Policy Lead with Chartered Accountants Ireland said: “It has been our position for years now that reforms to enhance the sustainability of the State Pension cannot take place without parallel reforms to increase private pension coverage in Ireland, which at the moment is around 60 percent. The scale of the pension funding problem will only grow unless more workers start to save for a pension.  “Starting the lengthy process of introducing auto-enrolment as a matter of urgency is the obvious answer to what is already a huge problem. This scheme will incentivise people to save and that in turn will reduce the reliance on the State Pension and therefore enhance its sustainability.” When it comes to the State Pension age, the Commission recommends gradual incremental increases of three months each year starting in 2028, reaching 67 in 2031, with further increases of three months every second year reaching 68 in 2039.  Commenting Ms Clohisey said: “Minister Humphrey has stated that the Government will not make a decision on these proposals until March 2022, and while we understand the widespread impact that these proposals would have, the further delay is regrettable. Based on the State’s history of addressing pensions policy, by the time any changes are implemented, we fear that 2028 will not be very far away.   “Workers approaching State Pension age, many of whom will have already worked for in excess of 40 years, deserve clarity on what age they can become entitled to the State Pension so that they can plan for their retirement. Therefore, we are urging the Government to expediate decision making on the State Pension Age in particular.” The Commission on Pensions’ recommendations also contained proposals to abolish mandatory retirement and allow workers to continue in employment until they reach State Pension Age if that is what they wish to do, a proposal welcomed by Chartered Accountants Ireland.  Commenting Ms Clohisey said: “Increasing the State Pension age without also addressing the issue of contractual retirement ages will also put pressure on the State’s finances as many workers have to bridge the gap to the State Pension by availing of the Benefit Payment for 65-year-olds. The Commission’s recommendation to align retirement ages in employment contracts with the State Pension age will help bridge this gap but for those who wish to retire at 65 years however, the State Benefit Payment for these individuals should continue.”  

Trustees should be aware of their obligations to register details of the beneficial ownership of their trust with the Central Register of Beneficial Ownership of Trusts (CRBOT) on or before the 23rd October. That deadline is fast approaching and trustees should be reviewing their internal registers and preparing to register if they have not already done so. The obligation to register with CRBOT was introduced under the 4th and 5th Anti-Money Laundering Directives which require each EU Member State to establish a Central Register of Beneficial Ownership of Trusts. Legislation was introduced on 23 April 2021 (Statutory Instrument 194 of 2021) to transpose those requirements into Irish law. The purpose of this legislation is to provide transparency both in Ireland and the EU around who ultimately owns and controls Irish trusts. This will help to identify and tackle circumstances where trusts are being used to fund criminal and terrorist organisations. The legislation also assigned the responsibility for CRBOT to the Office of the Revenue Commissioners. Trustees (or their agents, advisors or employees) can register for the CRBOT through the ‘Trust Register’ portal on Revenues Online Service (ROS). For individual trustees who do not have ROS access, the ‘Trust Register’ is available on MyAccount. Revenue.ie also contains a series of Frequently Asked Questions which should assist trusts and their agents, advisors or employees to determine whether they are obliged to register and how they can meet their obligations. Further information can be accessed at the link below - https://www.revenue.ie/en/crbot/index.aspx Any queries regarding the Central Register of Beneficial Ownership of Trusts (CRBOT) can be sent via MyEnquiries on ROS or MyAccount. For direct contact to the CRBOT team please ensure the relevant titles below are selected for both drop down menus: Select ‘Trust Register (Central Register of Beneficial Ownership of Trusts)’ from menu ‘Enquiry relates to’ Select ‘General Query’ from menu ‘More specifically’

Chartered Accountants Ireland has joined UK accountancy bodies ICAEW, ICAS, AAT and ACCA and others across the world to combat climate change by committing to net zero greenhouse gas emissions. This includes commitments to achieve net zero emissions in their own organisations and to encourage and guide their significant membership base to do the same. The accountancy bodies are part of The Prince of Wales’s Accounting for Sustainability Project (A4S) Accounting Bodies Network. This network represents more than 2.5 million professional accountants and students, across 179 countries, representing two-thirds of the world’s accountants. The bodies have committed to reach net zero emissions as soon as possible and will publish plans to do so within the next 12 months, reporting annually to show progress. They have also committed to provide their members with training, support, and resources to help them create their own net zero plans and reduce their emissions.  In launching the commitment, the bodies reiterated that climate change is of critical concern to their members because it is the responsibility of professional accountants to act in the public interest, which must now include helping to reach net zero. It is also an economic risk to the businesses they work with and the countries they work in.  The accountancy bodies stated their belief that the accountancy profession can help societies adapt to minimise climate change, using accounting practices to help governments adjust economic policy. They also committed to providing advice to help governments create the policies and infrastructure necessary for the transition to net zero economies.  Commenting Barry Dempsey, Chief Executive, Chartered Accountants Ireland said “On behalf of Chartered Accountants Ireland, I am pleased to make this commitment to net zero. It is a natural and very necessary continuation of last year’s call to action on climate change issued by the professional accounting bodies. This Institute is committed to substantially reducing carbon emissions in our own activities; we are already decarbonising our Scope 1 and 2 emissions and have put in place a roadmap for the future.  “The accountancy profession will play a significant and vital role in achieving climate change mitigation and adaptation, but many accountants are unsure where to start. We have an immediate responsibility to equip our members to take action through our education and advocacy work on their behalf.”  The accountancy bodies that have signed up to the commitment are: ICAEW, ICAS, Chartered Accountants Australia and New Zealand, Chartered Accountants Ireland, AAT, ACCA, Consiglio Nazionale dei Dottori commecialisti e degli Esperti Contabili, CPA Australia, CPA Canada, Institut der Wirtschaftsprüfer in Deutschland e.V. (IDW), Regnskap Norge, the Association of International Certified Professional Accountants, the Japanese Institute of Certified Public Accountants (JICPA).  The commitment is available to view at: www.accountingforsustainability.org/abn-net-zero-commitment  ENDS   About The Prince’s Accounting for Sustainability Project (A4S)  Our aim is to make sustainable business, business as usual. HRH The Prince of Wales established A4S in 2004 to work with the finance and accounting community to:  Inspire finance leaders to adopt sustainable and resilient business models  Transform financial decision making to reflect the opportunities and risks posed by the climate crisis and other environmental, social and governance (ESG) issues  Scale up action to transition to a sustainable economy   A4S has three global networks:   Chief Financial Officers (CFO) Leadership Network - CFOs from leading organizations seeking to transform finance and accounting  Accounting Bodies Network (ABN) - members comprise approximately two thirds of the world’s accountants  Asset Owners Network - Pension Fund Chairs who integrate sustainability into investment decision making  About Chartered Accountants Ireland  Chartered Accountants Ireland is Ireland’s leading professional accountancy body, representing 30,000 influential members around the world and educating 7,000 students. The Institute aims to create opportunities for members and students, and ethical, sustainable prosperity for society. An all-island body, Chartered Accountants Ireland was established by Royal Charter in 1888 and now has members in more than 90 countries. It is a founding member of Chartered Accountants Worldwide, the international network of over one million chartered accountants. It also plays key roles in the Global Accounting Alliance, Accountancy Europe and the International Federation of Accountants.   Chartered Accountants Ireland members provide leadership in business, the public sector and professional practice, bringing experience, expertise and strict standards to their work for, and with, businesses in every sector. Chartered Accountants Ireland engages with governments, policy makers and regulators on key issues affecting the profession and the wider economy.   

With Ireland putting its climate goals into law, businesses will find it tough to meet their targets. Although it will undoubtedly be a challenge, says Michael Hayes, there are ways Irish companies can act now – not only for themselves but for their stakeholders too. One of the key objectives of COP26 is to provide a forum to create a globally co-ordinated climate response, where all nations commit to ambitious emissions reductions plans (also known as Nationally Determined Contributions or NDCs). Achieving this globally co-ordinated response, including the creation of an internationally agreed carbon market (which COP25 failed to achieve), will be one of the key measures of the success of COP26. Ireland has joined a select few countries in enshrining its climate goals in law. The Climate Bill, ratified this summer, commits to a 51% reduction in emissions by 2030 relative to a baseline of 2018, with the Climate Action Plan and the first round of sectoral carbon budgets due in the final quarter of this year. Nonetheless, Ireland remains an outlier in pollution with the third-highest emissions per capita in the EU. Where carbon leakage is a concern, partnerships and collective action across governments, businesses, and civil society are essential. Why does climate matter to business? Too often, we think of far-off impacts of climate change such as wildfires in California or Australia – but Ireland is not immune to the climate crisis. The EPA’s recent Status of Ireland’s Climate study showed that the decade between 2006 and 2015 was the wettest on record, while 15 of the top 20 warmest years on record have occurred since 1990. Meanwhile, KPMG’s most recent CEO survey shows that in both the Republic of Ireland (40%) and Northern Ireland (44%), a noticeably higher percentage of respondents than the global average (27%) are concerned that not meeting climate change expectations will result in public market investors shying away from their organisation. Financial risk Businesses and listed corporates, in particular, are getting it from all sides in terms of ESG. Companies face a genuine and immediate financial risk if they don’t address ESG concerns. Investors may walk away, customers may not buy their products and services, consumer sentiment is changing rapidly, and employees want to work for companies with purpose. Companies that do not address the climate change and ESG agendas in a meaningful way will suffer. This has become even more serious in the aftermath of the IPCC report and its ‘Code Red for the Planet’ warning, and regulators and governments will force the agenda. Businesses that don’t appreciate the scale of new policies and regulations coming down the tracks run a real risk of being left out in the cold. Meanwhile, the most immediate pressure comes from investors who often manage other people’s money. Government stimulus required CEOs in Ireland and worldwide indicate that a multifaceted approach will be required to address climate change. Over three-quarters of leaders surveyed globally (77%) believe that government stimulus is needed to turbocharge their goals of reaching net-zero. This figure is even higher in the Republic of Ireland (80%) and Northern Ireland (82%). That so many CEOs say government stimulus and assistance will be required to help their organisations reach climate targets is interesting. There is a clear message there that most corporates believe they will not get to net-zero alone. No one should be under any illusions about how difficult it’s going to be.  What can business do? The same research showed that 84% of business leaders in the Republic of Ireland and 76% of their counterparts in Northern Ireland are focused on locking in the sustainability and climate change gains made during the pandemic. Companies with huge air miles before the pandemic simply stopped flying, with resulting cost savings and environmental gains. COVID-19 provided a unique test-bed for accelerating and testing new ways of working, and it’s hard to see how we could revert completely to where we were before. Furthermore, many organisations will be consciously working to ensure that they don’t slip back to old ways of working. Measure the gains Companies that wish to hold onto gains made during COVID-19 must know what they want to lock in. They need to set out clear KPIs and metrics for those gains. Many companies implemented good ad hoc climate initiatives during COVID-19, but the absence of a structured framework or programme means many of the gains are unlikely to persist. Creating frameworks and programmes now will help companies bed down those gains and build on them in the future. However, it should be noted that gains from climate action tend predominantly to be long-term in nature. Therefore, organisations should put governance structures in place to recognise such long-term gains. Michael Hayes is the Global Head of Renewables at KPMG.

1 in 2 accountants in Republic and Northern Ireland now “Chartered”    Institute fastest growing accountancy body across UK and Ireland over the last 15 years   30 September 2021 – Chartered Accountants Ireland grew its market share on the island of Ireland to 50.7% in 2020, according to statistics recently published by the Irish Auditing and Accounting Supervisory Authority (IAASA) and the Consultative Committee of Accountancy Bodies (CCAB). 1 in 2 accountants on the island of Ireland is now Chartered, with the Institute’s share of membership in the Republic of Ireland increasing to 49% and in Northern Ireland standing at 62%.     At the end of 2020, the Institute had 4,430 members in Northern Ireland, with just over 20,000 in the Republic. The remainder of the Institute’s membership is based in Great Britain and around the world.     This growth in market share comes as Chartered Accountants Ireland admits its 30,000th member, a Dublin-based accountant. The all-island body was established in 1888 and according to Financial Reporting Council (FRC) data (encompassing all of UK and Ireland), it has been the fastest growing accountancy body across the UK and Ireland over the past 15 years. In 1996, the Institute’s membership stood at approximately 8,800, rising to almost 15,000 by 2006, and 22,000 by 2016.     According to the FRC’s Key Facts and Trends in the Accountancy Profession report, published last month, Chartered Accountants Ireland recorded 16.5% growth in members between 2016-2020. This compares to an industry average in the UK and Ireland in member growth of 8.7%.     Commenting, Chief Executive Barry Dempsey said  “The continued growth of the Chartered qualification is encouraging. We have seen the critical role that Chartered Accountants have played across the island of Ireland over the last 18 months, as businesses navigated pandemic supports and additional regulatory requirements in addition to keeping their doors open.    “It is a pleasure to welcome our 30,000th member, Richard Akpan, who recently qualified with us. Of all the accounting bodies, Chartered Accountants Ireland has the largest percentage of members under 34 years of age (28%) and Richard is just one of this new cohort of members who will shape the direction of the profession for years to come.”     Richard Akpan, Senior Tax Associate at KPMG Ireland said  “I feel a great sense of accomplishment to be admitted as the Institute’s 30,000th member.  It was satisfying to conclude years of hard work and study with such an esteemed  qualification, and I will be making use of the global nature of the qualification by relocating  to Edinburgh at the end of October. I look forward to applying the skills I have developed  throughout my training contract and studies in my new role as a Chartered Accountant.”    Chartered Accountants Ireland’s growth in student numbers from 2016-2020 is also strong at 16%, second only to the Institute of Chartered Accountants in England and Wales (ICAEW) at 18%. This growth compares to an industry average in student growth of -2.2%. In the year to 2020, Chartered Accountants Ireland recorded the strongest student growth in the UK and Ireland, almost 5% year on year.      Dempsey continued  “Almost one in every two new accounting students in the State is now choosing the Chartered qualification, and we are particularly pleased to see such strong uptake in what we call the flexible route. An alternative to a training contract, it enables students to stay in their current job, study in a way that suits them and generate the relevant work experience now or further down the line. We introduced the flexible route in 2009 and today it accounts for 16% for students coming through.”     ENDS     For more information:  Jill Farrelly  PR & Communications Manager   Chartered Accountants Ireland  Tel: 087 738 6608

The Committee on Budgetary Oversight met the Minister for Finance, Paschal Donohoe TD, last Thursday, 23 September as part of its pre-Budget 2022 scrutiny process. With Ireland’s public debt equivalent to €50,000 per person, among the highest in the developed world, the Minister discussed the need to be aware of obligations towards future generations. An expenditure ceiling of €88.2 billion has been set for next year with €500 million in tax focused measures to be outlined on Budget Day. The Minister stressed the challenges ahead in his opening speech to the Committee. The Minister confirmed that the Government will continue to borrow for capital investment from 2023 onwards. He detailed: “Borrowing to fund investment that raises long-term productivity which changes our future is the right thing to do, but borrowing for day-to-day expenditure is not. The latter runs the risk of changing the living standards of future generations, who have to pay for it. We are determined to minimise the debt-service burden on our children. However, the next generation will and must benefit from an improved stock of infrastructure.” In light of the expected fall off in corporate tax receipts over time on foot of international tax reform and the potential impact to the rate of growth, the Minister discussed the need to “reduce our reliance on borrowing to fund day-to-day spending and get to a point where the taxes we are collecting are paying for the public services we have at the moment.” Despite the challenges expected within corporate tax revenues, the Minister noted, “I remain confident that the Irish economy will be competitive, resilient and able to retain and grow jobs into the future.” In relation to COVID-19 supports the Minister recognised that some businesses and employees will continue to need support but noted that the temporary supports are being phased out in a careful way, and others will come to a natural end. The Minister emphasised the trade offs involved in managing the public finances. He noted only three options available for new expenditures: “raising taxes, increasing borrowing and reducing expenditure in other areas”. He noted that Budget 2022 aims to strike the right balance between these choices but that difficult decisions will need to be made, and decisions would be made against the background of improving economic health.

After 18 long months of remote working, many people are feeling fatigued at the thought of attending yet another virtual meeting or event. Patrick Gallen gives us top tips on how to cope in these virtual settings. Do you find yourself avoiding, cancelling, or rescheduling virtual meetings, virtual coffee or virtual team events? When you do attend such virtual meetings or events, have you noticed that during the meeting you’re not present or focused, and afterwards you’re incredibly tense or tired? These are all potential signs that virtual fatigue has set in and you’re not alone. It is reported that 38% of workers say they’ve experienced virtual fatigue since the start of the pandemic, and anecdotal evidence would suggest that this trend is growing. Virtual fatigue is the feeling of exhaustion that often occurs after attending a series of virtual meetings or other virtual events such as webinars or training. Stanford researchers identify four causes for virtual or ‘zoom fatigue’ and found that not only is it more fatiguing seeing ourselves in real-time, but the cognitive load placed on our brains is much higher in virtual settings. But why does this happen more so than the typical in-office meetings we are used to? Our focus is diminished When we’re at home and in a video call, it’s easier to lose focus or get distracted. We tend to try to do things simultaneously, like answering emails or sending texts while attending a virtual meeting. The home environment also lends itself to other distractions, particularly if we do not have access to a private working space.  It is more difficult to ‘catch up’ In a face-to-face meeting, it is easier to ask clarifying questions, pick up on non-verbal cues, and help the meeting stay on track. In a virtual setting, if we miss something, have people speaking over each other or if there are technological challenges, it becomes more difficult to stay engaged. Looking at a camera is exhausting In a virtual setting that involves cameras, we feel obliged to appear engaged by looking into a camera for extended periods. This can lead to extensive scrutiny of our own performance and appearance which can have negative, long-term impacts on our self-esteem. Now that we know how to identify virtual fatigue it is important to consider how to reduce it with a few handy tips. Meeting structure Keep meetings short and try to limit the number of people present on calls. Where possible, avoid scheduling consecutive video meetings. Don’t forget the real world Take regular and structured breaks during the day from your workspace, and take time outside in fresh air and sunlight. Avoid multitasking Try to be ‘in the here and now’ when engaging in virtual activity. Avoid emails, texts, and external distractions where possible. Turn your camera off If it’s appropriate and you need a break, then turn your camera off – but don’t be tempted to use this as an opportunity to do other things. Instead, use it to really start listening to what people are saying and engage meaningfully Switch up your communication method Is a meeting really required? Would a phone call or email suffice? Think about the most effective communication method for your messaging and how you can get this across. Pay attention to how you’re feeling, and take these steps to prevent fatigue before it becomes a problem. Patrick Gallen is the Head of People and Change Consulting at Grant Thornton.

Results of a recent Institute survey revealed that two in every three Chartered Accountants surveyed favour the introduction of a devolved corporation tax rate for Northern Ireland, with almost nine in ten of the belief that the rate should be less than the current 19 percent. The Institute, which represents almost 5,000 accountants working in Northern Ireland, surveyed members on the launch of its annual position paper, The Next Financial Year.  A delegation from the Institute is due to meet with the independent Fiscal Commission next week and will be discussing the survey results with the Commission in addition to other potential fiscal devolution measures. The survey results will also be used to inform wider Institute work in the context of the increase to the rate of corporation tax in the UK from April 2023. More information on the survey results is included in the Institute’s press release.

2 in 3 Chartered Accountants surveyed in Northern Ireland favour the introduction of a devolved corporation tax rate for the region, according to Chartered Accountants Ireland, with almost 9 in 10 of those in favour of the belief that the rate should be less that the current 19%. The Institute, which represents almost 5,000 accountants working in Northern Ireland, surveyed members on the occasion of the launch of its annual position paper, The Next Financial Year.   In The Next Financial Year, the Institute highlights the potential of a lower, competitive rate of corporation tax and the benefits it could bring to the region. It is one of a range of measures in the position paper that represent an innovative approach to supporting business and helping the Northern Ireland economy rebound after the COVID-19 pandemic.  Commenting, Paul Henry, President, Chartered Accountants Ireland said “We have long favoured the consideration of a devolved rate of corporate tax in the region, and the fundamental reasons to introduce this in Northern Ireland are unchanged. A lower, competitive rate, coupled with the dual benefit of having access to both the UK and the EU’s single market for goods, would put Northern Ireland in a unique position to also attract foreign direct investment, particularly in manufacturing and distribution. “An increase in the main rate of corporation tax in the UK from April 2023, the UK’s exit from the EU, and the establishment of an independent Fiscal Commission by the Northern Ireland Executive make this a timely issue. I look forward to leading an Institute delegation to meet with the Fiscal Commission on this issue next week.” Foreign direct investment has remained strong in the region, with 6,000 more companies operating in Northern Ireland than in 2016. Northern Ireland is now home to more than 1,100 international companies, employing 100,000 people. Other areas of focus in The Next Financial Year:  Targeted government supports Chartered Accountants Ireland is calling for an extension of COVID-19 business supports, such as the Coronavirus Job Retention Scheme (CJRS) and Self-Employment Income Support Scheme (SEISS) until at least the end of 2021, in a targeted way that allows viable businesses the flexibility they need to recover and grow. Leontia Doran, Taxation Specialist (NI), Chartered Accountants Ireland noted:   “A premature withdrawal of government supports must be avoided to mitigate the impact of the crisis and allow viable businesses a fighting chance of survival. The announcement of a further extension to the CJRS should be made as soon as possible so that businesses can plan ahead. “While many businesses have now resumed trading, financial pressures are coming to a head as they reopen, often with reduced capacity and staff resourcing constraints. In addition, while banks and other creditors might have stood down collection and enforcement activities during the third national lockdown, as trading begins, the pressure will come to bear on any cash reserves that businesses may have.” Recognising the challenges faced by the hospitality sector, The Next Financial Year proposes that the 5% reduced VAT rate remains beyond 30 September 2021, when it is currently due to end, until at least 31 March 2022. At this point, the rate should move to a proposed interim level of 12.5% for a period of at least six months to protect jobs and livelihoods.  Sustainability The paper also calls for the tax system to be used to enhance behavioural change and help Northern Ireland in its journey to net-zero carbon emissions by 2050 at the latest. Chartered Accountants Ireland calls for tax policy to be aligned clearly with decarbonisation objectives, which should achieve the desired result of steering investment and consumer choice in favour of low-carbon alternatives. Noting the UK’s successful implementation of four taxes with explicit environmental objectives (the Climate Change Levy, the Carbon Price Support, the Landfill Tax, and the Aggregates Levy), the report suggests tax policies which support the adoption of sustainable home upgrades and low-emission cars. It also calls for the ‘Green Agenda’ to feature in all future UK Budgets.  Additional measures proposed by the Institute to support SMEs include The automatic deferral of self-assessment tax debt for amounts up to £30,000 for 2020/2021 should continue and should be extended to other taxes to allow businesses breathing space as they reopen. The re-introduction of the COVID-19 Business and Financial Planning Grant. A Processing and Marketing Grant for the agri-food sector to drive growth and create employment. Fairer and more accessible tax rules for remote workers, including a re-evaluation of ‘normal place of work’ for tax purposes and the rules for tax deductible expenses of employment. Maintaining the current rates of capital gains tax. Reviewing Business Asset Disposal Relief, including an evaluation of the impact of the reduced lifetime limit (£1m from £10m) on entrepreneurial behaviour. Tailoring R&D Tax Relief to facilitate the economic recovery by expanding the categories of qualifying expenditure and accelerating the payment of the tax credit to claimants. Chartered Accountants Ulster Society will be hosting a hybrid, half day conference examining the key issues for business in 2022 on 18 November 2021, at ICC Belfast and online.  ENDS  

Being a positive influence on your team doesn’t have to be complicated. Anna O’Flanagan outlines a few actions you can take today to boost your team’s morale while enhancing your own wellbeing. Are you a drain or a radiator on your team? If you identify more with the former, could you be ‘radiating’ more to boost the morale of those around you while also improving your own wellbeing? Giving back – whether by volunteering, helping a neighbour, or simply offering kind words with no expectations – are proven to enhance overall wellbeing. Fill the tank Think about the members of your team as having an emotional tank. When the tank is full, they feel ready and able to engage. However, when their tank has been bled dry due to a mixture of circumstances, they are bound to struggle with motivation and enthusiasm. We can’t change some of the external factors affecting us right now, but let’s focus on what we can influence. Try being a ‘radiator’ and see how it makes you and those around you feel. Here are a few ways to make that happen: Use your active listening skills and properly give colleagues your attention. Use affirming non-verbal communications like smiling and attentive body language when in the office and working over video calls. Give your colleagues honest and specific appreciation and praise. It needs to be genuine, consistent and spontaneous. Don’t wait for a one-to-one meeting – just pick up the phone or pop them an email as soon as you think of it. Provide recognition for work done well and the behaviours that got them there. Remember, work well done is not all about the result. So, even when the team has a perceived failure, acknowledge what they did well in an environment of learning, not blaming. Maybe you are doing these things already, or perhaps you usually do them but have fallen off the wagon a bit recently. It’s important to accept that you won’t always be able to radiate. But, when you can, why not go out there and be someone’s radiator today? It could make be the difference between a colleague struggling and managing. Anna O’Flanagan is Founder and Chief Squirrel at Red Squirrel Team Building.

Failing to give a good answer regarding your future career plans is a sure-fire way to ruin a great interview. Fionnán O’Sullivan explains how to fix this problem. It’s a question inevitably asked in every interview: where do you see yourself in five years’ time? Many people say that they’d like to be at a point in their career where they can take on a more senior role; maybe with a larger team and more responsibility. When you’ve interviewed as many people as I have, this answer is stock standard, and usually accompanied by a few ‘ahhs’, ‘umms’ and false starts. Not exactly impressive, and does not give the impression you’ve given it a great deal of thought. Sure, it tells me what you think I want to hear, without being too committed to one direction, but it leads me to one question: if this is how you plan your career, how will you run a department? There are a few ways you can make your answer and, therefore, your interview a success. Tailor it to the role for which you are interviewing The fact is, not many of us have clear career plans. We might have an idea of an end goal, but rigorous, self-directed career planning, although advised, is rarely done. Most of us rely on the organisation we work with to define this for us. If this is you, and you don’t have a clear ambition, you need to imagine a ‘future you’ within the context of the role for which you are interviewing. What has the interviewer told you about career progression, or the people you’d be reporting to? Is there a career path already defined you could use to shape your answer? If it’s a flat organisation with not much room for upwards progression, what potential lateral moves could you make? Is there a particular area that you don’t have experience but have a keen interest in? Base your answer around that information, such as: “You’ve told me quite a lot about your career pathways. What is important for me is that I am able to build a toolkit of skills to enhance my overall performance as an asset management or financial services manager. Therefore, in five years, I like to think that I would have proven my value and received the opportunity to move into a leadership role in asset management or financial services, an area that I currently have limited exposure to.” Take control: set your own milestones that speak to the needs of the business Think about the role you’re interviewing for. Does it entail a two, three or five-year plan? Will long-term planning be a part of the role? If it is, then ‘yourself’ in five years is you having delivered the objectives contained in the plan. Tailor it to the organisation you are interviewing for and their objectives. If they are talking about long-term change or business transformation, how does the role in question feed into these larger programmes, and how can you use this information to visualise the ‘future you’? For example: “This role clearly has an important mandate, which is to support the delivery and adoption of the three transformation initiatives you have spoken about, which you anticipate will take four to five years. I would like to think that nearing the end of this period, with regular communication with my superiors, I would be able to define my next career move, depending on the strategic priorities or needs of the business.” Above all, be clear, concise and confident Clarity and precision of thought is essential. There is little more unattractive than someone who shows a lack of ambition at an interview. Even if you are ambitious, fluffing this answer will make you appear like you do not care, or have not given your career enough thought – which may raise serious (if unjustified) questions about your your capacity as a leader. Ensure that however you decide to approach this question, you give it some serious preparation. If you feeling uncomfortable with the answer, practice. Whether you record yourself, get your partner or friend to role play with you, or write it out and learn it, become comfortable with your wording. And if you give a good enough answer – it might even come true. Fionnán O’Sullivan is Managing Partner with the financial services practice in Barden. 

Small and medium enterprises (SMEs) should be supported in becoming more resilient and agile, as they emerge from the pandemic, according to Chartered Accountants Ireland. The largest accountancy body on the island of Ireland today published a position paper informed by extensive engagement with members in business, practice, and the public sector.  The focus is on improving government policy for businesses all around Ireland without demanding additional exchequer funding or support.    The Institute, which represents 30,000 chartered accountants, states that while greater government intervention in the economy may be necessary in the wake of the pandemic, it does not need to result in increased complexity or red tape which constrains business growth. Rather, The Next Financial Year promotes recovery through sustainable government approaches to business needs.   Commenting, Dr Brian Keegan, Director of Public Policy, Chartered Accountants Ireland said  “Government in the future will be bigger. There will be more regulation, more direct government intervention, greater accountability. Government and its agencies collaborated with business better in the last 18 months than before. As supports are withdrawn, a continuation of this partnership-based approach would position Ireland’s SMEs strongly for growth.   “As well as emerging from the restrictions, businesses will be dealing with increased compliance from developments such as the proposals for an auto-enrolment pensions system and statutory sick pay. The timing of these initiatives and their immediate impact on SMEs as they re-open has to be managed.”  The Institute’s proposals to support businesses include:  Improvements to the digital facilities of business regulators such as the Company Registration Office and the Revenue Commissioners Greater use of verifiable electronic signatures for official purposes Overhaul of Companies Act provisions to permanently reduce the need for physical meetings and events Extension of commercial rates waiver for businesses impacted by the public health restrictions.  Tax rules for new ways of working   While remote working has been one of the biggest recent shifts in working lives, the pandemic has shone a harsh spotlight on the taxation system. Payroll tax amounted to €18.83 billion in 2020, a reliable source of Exchequer revenue made possible by flexibility in where an employee could work during the pandemic. The current tax system is inadequate however for the purposes of fairly reflecting the costs for businesses and employees of working from home. Tax supports should be put in place for businesses to upskill employees and upgrade their technology, while the tax system must be reformed to allow employees off-set the cost of working from home against tax liabilities.  Norah Collender, Professional Tax leader, Chartered Accountants Ireland said:  “Currently, employers can contribute up to €3.20 per day to cover an employee’s additional costs of working from home, without triggering benefit-in-kind. However, many employers cannot afford such a contribution. The UK’s ’express claim’ tax relief measure, while more modest, is easier to claim. A similar measure should be considered by the Irish Government if working from home continues to be required.    “At present tax relief can only be claimed on expenses incurred for equipment used “wholly, exclusively and necessarily” in the performance of the duties of employment. Revenue applies a strict interpretation of this, resulting in complex rules and slim odds of making a successful claim. Fairer and more accessible tax rules must be developed as part of an effective strategy for remote working.”  In the area of taxation, in The Next Financial Year the Institute also calls for the rules to establish a normal place of work to be reconsidered considering the move to hybrid or blended working. An employee’s normal place of work should be based on where the employee carries out most of their work, whether their home or their employer’s office or another workspace.  Green taxes and sustainable reporting  Businesses, particularly SMEs, will play a crucial rule in meeting the Government’s net-zero carbon emissions targets by 2050. However, businesses will only be able to deliver if they are supported by the right policy frameworks and encouraged by Government to commit to carbon-reduction targets.   Chief among the Institute’s proposals in this area are:  Aligning tax policy with decarbonisation objectives to steer business investment and consumer choice towards low carbon alternatives Allocating all revenues from increasing carbon taxes to climate action initiatives An enhanced R&D Tax Credit to fast track the development of technology making renewable energy cheaper and more readily available Extending the tax breaks for energy efficient equipment scheme beyond the current expiration date of 31 December 2023 and giving the scheme a permanent basis. Other key proposals in the wider position paper include:   Tax policies to tackle the blockage to housing supply by reducing development costs, including tax payment holidays for developer PAYE and VAT, offsetting the costs of training construction workers and enhanced tax deductions for safety equipment A new ‘super-deduction’ capital allowance regime for a limited period (two years), providing companies a 130% capital allowance deduction for investments in plant and machinery Application of the current tax relief model to the proposed pension auto-enrolment system A cost/benefit analysis to consider the reduced interest rate of 3% on unpaid tax debt available under the Tax Debt Warehousing Scheme being applied on a permanent basis. The Next Financial Year can be downloaded in full here   

Most office workers have proven they can work just as well – if not better – while working remotely. Why, then, are business leaders so keen to get people back in the office? Patrick Gallen examines the issue of trust and maturity in the workplace.   Flexible and remote working existed in Ireland by exception before COVID-19; today it is a way of working life. COVID-19 has enabled us to prove that flexible and remote working work, but why are so many leaders still keen to ‘get back to normal’? Why is there a belief that having your team in a common physical space between dictated hours allows for better measurement of performance, and how do we challenge this paradigm? I worked in London for seven years in a large multinational; flexible and remote working was an accepted way of working, it was embedded into the culture to work where you want, when you want – as long as the expected output was met. When I returned home to Ireland in 2018, I couldn’t believe the low level of flexible and remote working available. In one experience, I witnessed a senior member of a division ask if it was OK to leave 15 minutes early. One adult asking another adult permission for 15 minutes – this is the ‘aha’ moment. Maturity and trust are key factors to enabling an agile workforce. For this to happen, we must challenge our thinking as leaders on three points. 1. We are all adults As adults, why are we asking permission? Permission removes accountability and power. It is a safety mechanism to move responsibility from one person to another; but if we are not holding our teams responsible for managing their own time or empowering them to do so, what else are we not enabling them to be responsible for? Trusting our people to manage their own time and workload cultivates a mature and empowered culture; empowered people feel safe to be innovative and creative – without asking permission.  2. Attendance vs output: if I can see you, you’re working But if I trust them to manage their own time, how will I know they are delivering their work? Is work measured on attendance or output? In this new reality, establishing the measurement of work will be a major indicator in what the future of flexible and remote working will look like. If our approach as leaders is to look at output rather than attendance, we will need enhanced performance management frameworks, smarter objectives and measures. Processes and systems are just the mechanism; nothing will embed without understanding and working with your people and teams. As leaders, we need to focus on bringing performance management frameworks to life through value-adding conversation and feedback, and making performance management a meaningful experience.   3. Trust, evidence vs fear: if I can see you, I trust you And to come to our third point: is our lack of trust in employees working in a flexible or remote way based on evidence, or fear? For example: two members of your team doing the same job with the same output, but one is in the office and the other is at home – who do you unconsciously trust more? If it is the former, it might be fear-based trust. As leaders, it has never been more important to hold a mirror up to ourselves and find our own resistance: What comfort do I get when my team is in the office? What will I lose if my team works remotely? As humans, we all have insecurities and fears, and every day we do what we can to protect ourselves; most of the time unconsciously. We might be protecting our sense of control, position or status. If we can develop as leaders and bring understanding to this by looking in, we may be able to apply more freedom when we look out. There are many layers to effectively enabling flexible and remote working, but to start it’s important to understand and shift the resistance within ourselves. By bringing maturity and trust into the culture and establishing a consistent focus on output, we will open the gate to a fluid and effective remote working environment – without permission! Patrick Gallen is the Partner of People and Change consulting at Grant Thornton.

Annual survey from Chartered Accountants Leinster Society shows changing work practices & values focused on health and work-life balance following Covid-19 2 September 2021 - A new survey published today places the average salary package (including base salary, car or car allowance, plus bonus) for a Chartered Accountant in Leinster at €112,033, consistent with recent years. But in contrast to previous surveys, a strong shift in work practices, values and priorities has emerged for many following the onset of the Covid-19 pandemic.  The survey of more than 1,000 Chartered Accountants, published today by Chartered Accountants Ireland Leinster Society in partnership with Barden, Ireland’s leading accounting and tax recruitment firm, and in association with Coyne Research, provides the most up-to-date guide to Chartered Accountant salaries and employment prospects in the Leinster region. Strong Earning Potential  The survey, carried out between 22 July and 9 August, highlights strong earning potential for those entering the profession, with newly qualified (2020 and 2021) Chartered Accountants receiving an average salary package of €57,164. The majority of members surveyed said they hold full-time permanent roles (96%), up slightly on 2020 (95%). Over 4 in 5 (82%) said their total remuneration has increased within the past three years, with 1 in 3 claiming it has increased by more than 25%. The survey also showed a significant increase in those anticipating a bonus payment in 2021 (67%) versus 2020 (52%), with €20,000 the average bonus expected to be paid this year. At 85%, the majority also have a pension, unchanged from 2020, with employers contributing on average 9% of their salary. New Ways of Working  As with many professions, the pandemic has changed how Chartered Accountants work with regards to place of work, the role of technology, and hours worked. Key findings include:   8 in 10 respondents considered location flexibility (a mix of home and office/client location, work from anywhere) the most valuable aspect of flexible/hybrid working for the future More than 8 in 10 believed personal productivity tools such as MS Teams, Zoom, etc. have positively impacted their career However, almost half (48%) of Chartered Accountants also claim they are working more hours at home than they were when working in the office 60% know what their future working arrangements will entail, while one-third (32%) do not yet know – but among this group, 7 in 10 would like to collaborate with their employer on a plan Just 6% would be happy to return to a full-time, Monday to Friday office routine in the future. Future Outlook  At this stage in the pandemic, respondents are more positive about the future, both in terms of their own personal career progression and the outlook for the profession in general.  Key findings include: More than two-thirds (67%) believe the employment market is buoyant, a significant change from 25% in 2020. Only 9% believe the market is contracting in 2021 compared to 36% in 2020 Over half (51%) said they have been promoted in the last three years, with one-fifth of members moving job in the last 12 months. This remains on par with recent years 90% of Leinster Society members are not concerned about job security, a significant improvement on last year when Ireland was in the early stages of the pandemic. At that time, almost one fifth (18%) of those surveyed expressed concern about their job security  Just 4% said their salary has reduced as a result of the pandemic, versus 13% in 2020  Only 3% were in receipt of the Employment Wage Subsidy Scheme, a fall of 6% on 2020. Jilly Harvey, Chairperson of Chartered Accountants Ireland Leinster Society, said: “While our survey shows that 84% don’t believe the pandemic has changed their work as a Chartered Accountant, it is clear that ways of working have changed, and that the pandemic has been a catalyst for much of this change. Greater work-life balance with flexible arrangements are valued by members in greater numbers than in any previous Leinster Society survey. It is reassuring that employers are providing tangible ways to meet those needs as part of the overall remuneration package on offer to new and established professionals. The survey points to a profession that is adapting well for the post-pandemic world of work, while retaining the many benefits, such as strong starting salaries and flexible entry routes, that make Chartered Accountancy an attractive career path for so many.” Elaine Brady, Managing Partner at Barden, said: “This survey gives employer firms, recruiters and anyone considering a career in Chartered Accountancy the big picture on what it means to work as a Chartered Accountant in Leinster today. The findings look far beyond the traditional remuneration packages to ask about the real life work arrangements and non-financial benefits increasingly valued by employees. Over half of those surveyed are satisfied with their work/life balance and the non-monetary aspects of their job. As Ireland emerges further from the pandemic, all the signs point to continued confidence in both the employment market and equally the career progression outlook for Chartered Accountants across Leinster.”  Where Chartered Accountants Work The survey highlights the wide range of industries and sectors that Chartered Accountants work in. The majority of members surveyed work in Dublin (84%). Of the 19% of members employed in practice, 48% work in a Big 4 practice. 68% of those working in practice are in a Manager or Director role. The majority of those not working in practice currently work in financial services (25%). Members also work in IT and Telecommunications (13%), Government/Public Sector/Education (10%), Construction (8%), Pharmaceutical (8%), and across a broad range of other sectors including manufacturing, not-for-profit / charities, food industry and more. Among those not employed in practice, almost four in ten (39%) work for companies that are a subsidiary of a foreign-owned multinational compared to a private Irish company (29%) or the business unit of an Irish plc (11%). ENDS Note to editors The survey was conducted by Coyne Research on behalf of Chartered Accountants Ireland Leinster Society, in partnership with Barden, between 22 July and 9 August 2021. About Chartered Accountants Ireland Leinster Society Chartered Accountants Ireland Leinster Society is a district society of Chartered Accountants Ireland, representing over 14,950 Chartered Accountants throughout Leinster. Chartered Accountants Ireland is Ireland’s leading professional accountancy body, representing 29,500 influential members around the world and educating 7,000 students. The Institute aims to create opportunities for members and students, and ethical, sustainable prosperity for society. An all-island body, Chartered Accountants Ireland was established by Royal Charter in 1888 and now has members in more than 90 countries.  It is a founding member of Chartered Accountants Worldwide, the international network of over one million chartered accountants. It also plays key roles in the Global Accounting Alliance, Accountancy Europe and the International Federation of Accountants.   Chartered Accountants Ireland members provide leadership in business, the public sector and professional practice, bringing experience, expertise and strict standards to their work for, and with, businesses in every sector. Chartered Accountants Ireland engages with governments, policy makers and regulators on key issues affecting the profession and the wider economy. About Barden Barden is a partner led expert recruitment firm consumed with supporting companies that really know the value of their people. Barden’s expertise covers Accounting, Finance, Tax, Legal and Financial Services recruitment. Our people are trained/qualified in their expert areas, and our approach is consultative not transactional.  Barden has proudly partnered with the Chartered Accountants Ireland Leinster Society, for the last 4 years, to bring you the annual salary survey. Over the next 2 years Barden will also be working closely with Chartered Accountants Student Society of Ireland (CASSI) to make sure their members get access to the right information, at the right time so when they qualify they can make the right decisions about their professional future. For more information: Jill Farrelly PR & Communications Manager Chartered Accountants Ireland

Revenue has provided updated guidance on the criteria used to determine if an individual is an employee or self-employed. Updates to the Tax and Duty Manual – Part 42-04-35A  -The Employers’ Guide to PAYE are as follows: Paragraph 1.7: guidance has been updated in relation to the criteria used to determine if an individual is an employee or self-employed, which reflects the new Code of Practice on Determining Employment Status; Paragraph 7.3: a link has been added to the PAYE Modernisation Line Item Correction Rules; and Paragraph 7.6.2: guidance has been added in relation to real time credits. The Public Accounts Committee recommended a series of actions for Revenue to combat ‘bogus self-employment’ earlier in the year, which included bringing forward legislation to replace the existing Code of Practice to provide stronger and more comprehensive definitions of employment and self-employment. See Revenue eBrief No.162/21 for further details.